25 Reasons to Invest Through Regulated Investment Crowdfunding for Social Impact
I’ve spent years immersed in the world of impact investing, and if I sound a little fired up today, it’s because I am. The traditional capital markets continue to overlook brilliant, diverse entrepreneurs—especially those working in and for their communities. That’s why I’m passionate about regulated investment crowdfunding (Regulation Crowdfunding or Reg CF, particularly). It’s not perfect, but it’s the most promising tool we have to democratize access to capital, empower underrepresented founders, and reshape our economy from the ground up. Here are just a few of the reasons I believe so deeply in this movement:
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Democratization of Capital
Reg CF breaks down barriers that historically excluded all but the wealthy from investing in private ventures. -
Access to Overlooked Founders
Traditional VC overlooks diverse founders; Reg CF helps level the playing field by allowing the crowd to support talent the system ignores. -
Rooted in Community
Reg CF enables investment in local businesses a
Why I love Crowdfunding Portals
I love regulated investment crowdfunding and the portals that participate in the space. I’ve got gripes and complaints, but overall, I’m their biggest fan. They are fundamentally essential to the ongoing success of the industry—and its future growth.
Today, I’d like to enumerate some of my favorite things about portals operating under Regulation Crowdfunding:
9 Things I Love About Portals
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Pre-Screening Investments: We all rely on portals to screen the offerings they host. They all use different criteria, but they are all required to exclude companies associated with “bad actors”—people who have been in trouble with the SEC in the past.
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Regulatory Compliance: Having run a FINRA-member, SEC-registered broker-dealer, I know how hard it is to comply with the regulations. That is a big reason I don’t run a portal today! I’m grateful that they have made the effort to comply with the rules. These sometimes impose on us minor inconveniences, but the net effect is a safe and
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