Founders > Funding Platform Brand

Samson Williams Samson Williams
Posted at 6/22/2021

“Silicon Prairie is pushing the industry so that it is less about whose platform you use (because investors will go directly to the Founder’s “own” website) and more about the Founders/Issuers themselves. Which means, CF portals are headed to the plumbing side of things, a la Internet Service Provider (“ISP”).  No one cares who your ISP is and no one will care who provides their funding portal’s plumbing.”  Samson Williams, internal email on Silicon Prairie’s new “private portal” offering. 

Investment Crowdfunding turned 5 years old in May 2021. Why do you care about what this VC killing kindergartener is up to? Simple, the ability for Founders to raise up to $5M via RegCF is changing the culture, perception and reality of venture investing. How? This article will shed light on how and why this matters to you as a Founder, an Investor and more importantly as an Investomer. 

 

Founders are the Future of Funding 


Investment Crowdfunding is “new”. As such the...more

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Crowdfunding isn't static

Samson Williams Samson Williams
Posted at 6/22/2021

The key to understanding, appreciating and then monetizing the art of Regulation Crowdfunding is the realization that it's more art than regulations. What that means is: 

  1. There are no profitable funding portals
  2. Especially if the funding portals came into existence before 2019
  3. However, there is a new breed of funding portals that will be profitable by the end of 2021

The art of RegCF is that in order to reach the lofty goal of $5M there isn’t any single route. Yes, there are some guide rails but WHAT you do to raise your goal be it $5M or $50k is the fine art of strategy. HOW you execute that strategy is the dull nature of tactics. Why you care is because if you come from “traditional finance” your disadvantage is the speed at which innovation can occur, does occur and is pursued. 


Crowdfunding = Innovation


The sole reason that RegCF exists is because traditional finance and venture capital is broken. If VC funding worked so well, RegCF simply wouldn’t exist. It's not a deba...more

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VC's role in Crowdfunding

Samson Williams Samson Williams
Posted at 5/18/2021

Every health ecosystem needs top predators. Predators at the top of the food chain help maintain a healthy balance between species and environmental systems. We become keenly aware of this in the ocean when sharks are removed it causes an increase in red tides, toxic algae blooms and a general imbalance to the ecosystem. This effect is called "cascade" or marine trophic cascade when talking about the oceans specifically. However, the cascade can take affect in any environment. The thing about the ocean is that since we, meaning Humans, can't see the cascade directly its the classic "out of sight, out of mind" tragedy of the commons. To help make this more relatable to us land based a simpler example we can all probably relate to:  

  • There are more deer in the USA today than in 1800. 
  • Meanwhile, deer predators (bears, wolves, mountain lions etc...) populations have been reduced to critically low numbers.
  • The lack of predators keeping the deer population in check has incre
...more

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The State of The League Is Strong

Samson Williams Samson Williams
Posted at 5/18/2021

Regulation Crowdfunding turned five years old on May 16, 2021 and celebrated its birthday with 63 FINRA licensed portals and over $700M raised via RegCF. This is an amazing milestone for the investment crowdfunding industry and what I refer to as "The League”. The League is the 63 and counting FINRA licensed Funding Portals. Even today, there are another two dozen entities with Funding Portal applications with FINRA looking to join the league and 2022 is shaping up to be a $1B year. On behalf of the Crowdfunding Professional Association we are rooting for all of you. 

As I think about the state of the Crowdfunding industry and the individual funding portals I often compare them to the National Basketball Association (NBA). That league started off small, hit an inflection point and then grew into the dynamic global presence it is now. So too with the 63 “teams” of the CfPA.  To that end here is a peak of what the Crowdfunding Professional Association will be doing to help the ...more

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Communications and publicity by issuers prior to and during a Regulation CF offering

CrowdCheck, Inc.
Posted at 5/11/2021

The idea behind crowdfunding is that the crowd — family, friends and fans of a small or startup company, even if they are not rich or experienced investors — can invest in that company’s securities. For a traditionally risk-averse area of law, that’s a pretty revolutionary concept.

In order to make this leap, Congress wanted to ensure that all potential investors had access to the same information. The solution that Congress came up in the JOBS Act with was that there had to be one centralized place that an investor could access that information — the website of the funding portal or broker-dealer that hosts the crowdfunding offering (going forward we will refer to both of these as “platforms”).

This means (with some very limited exceptions that we’ll describe below) most communications about the offering can ONLY be found on the platform. On the platform, the company can use any form of communication it likes, and can give as much information as it likes (so long as it’s not misleadin...more

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Why Blockchain Advocates should join the CfPA

Samson Williams Samson Williams
Posted at 5/8/2021

TLDR; 

  1. Blockchain is a technology
  2. Crowdfunding is a) asking strangers b) for money c) over the internet
  3. When “Blockchain Businesses” use DLT to create tokens, coins, and various digital thingamajiggies 99% of the time they do so for the express purpose of raising capital by creating a security, a la ICOs, TGE, IEOs, NFTs, etc...
    • The other 1% they’re creating derivatives but we’ll talk about that later.
  4. Otherwise DLTs would be digital products or services, with set firm, fixed prices, that Businesses could sell to users/consumers and pay appropriate State, Local and Federal sales and income taxes on.
  5. Blockchain advocacy groups should partner with the Crowdfunding Professional Association because raising capital isn’t the domain of “Blockchain” businesses nor Blockchain advocacy groups. 

Hello Beautiful Blockchain and Cryptocurrency People! 

I wrote a longer article on why everyone in the Blockchain Advocacy space should join the Crowdfunding Professional Association....more

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Looking for the "right investors"?

Samson Williams Samson Williams
Posted at 4/27/2021

You're looking for "the right investor". Your competition is looking for the right investor. Everyone in your accelerator or incubator is looking for the right investor. Your right investors is also looking for the right investor. Everybody is looking for the right investor! But why? Especially when customers have more money than VCs and Angels...

Oh, the reason that your right investor is looking for the right investor is that: 

A. General Partners crowdfunding from a small pool of Limited Partners. Thats how you know crowdfunding works. Sharks do it all the time, with each fund they start they spend years raising money from a small pool of investors. The difference for you is, that you now know better than to pool capital from a pool and know instead to source it from the ocean that is The Crowd.

B. Funds generally want to invest after someone else has. As though due diligence gets solved because someone jumps off the cliff first, which gives them the courage to follow with...more

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Understanding Accelerator & Funding Portal Partnerships

Samson Williams Samson Williams
Posted at 4/25/2021

TLDR 

  1. Accelerators & Incubators will partner with FINRA approved Funding Portals (aka Crowdfunding Platforms) 
  2. Because the real value is in getting Founders/Businesses "Business Ready
  3. Founders will not benefit from this partnership and will opt to skip the Incubators and Accelerators going directly to crowdfunding platforms. 

Hello Beautiful People! Recently you may have seen how YCombinator put 40 of their Startups onto the WeFunder platform. Which was an inevitable step in the evolution of crowdfunding. On YCombinator's side it was them opening the gates to a Trojan horse of epic size. How is that? I'll explain in the following bullets. 

A natural partnership - Accelerators/Incubator and Funding Portals 

In all truth I don't actually know what the difference is between an incubator and an accelerator. Yes, I could google it but that would be like googling "What is the Yellow Pages?" At any rate, in my head accelerators and incubators help Founder...more

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