Platform

Crowdfunding: Can It Work for Brick & Mortar?

By Cheryl Clements, Crowdfund Beat Guest Post, Founder + CEO of PieShell – Crowdfunding for food + beverage, Having a store front or restaurant is expensive, especially when you’re just getting started. Between build-out and equipment costs, starting inventory, licenses, fees, and working capital, starting a brick and mortar business can easily add up to hundreds of thousands of dollars. It’s because of this that many people say that rewards-based crowdfunding isn’t a good option for brick and mortar businesses, but we beg to differ. Crowdfunding is a great option for restaurants, bakeries, coffee shops, and more (if it’s done in the right way and on…

Read more »

SEC Makes Intrastate Crowdfunding A Little Easier

aaeaaqaaaaaaaaf7aaaajdm2zwu1ywjmlwe2zjgtndljns04mtu3ltzmnza4mde3m2y4ma

By Mark Roderick CrowdFunding Beat  Sr. contributing editor and crowdfunding attorney with Flaster/Greenberg PC. The SEC just adopted rules that should make intrastate Crowdfunding easier, at least if State legislatures do their part. To understand how the new rules help and how they don’t, start with section 3(a)(11) of the Securities Act of 1933, which has been, until now, the basis for all intrastate Crowdfunding laws. While section 5 of the Securities Act generally provides that all sales of securities must be registered with the SEC, section 3(a)(11) provides for an exemption for: Any security which is a part of an issue offered and sold only to persons…

Read more »

SEC Adopts Final Expanded Intrastate Crowdfunding Rules

US-SEC-gov

By Samuel S. Guzik, CrowdFundBeat special guest editor,  Guzik & Associate Today the SEC unanimously adopted amendments to Rule 147 and Rule 504, and adopted a new Rule 147A, intended to modernize and facilitate local offerings by companies in their home state.  The final rules are much improved from the proposed rules issued in October 2015, in response to virtually unanimous views of rule commentors. The only fly in the ointment is that most states will need to update their legislation in order to be able to take advantage on the new, relaxed rules allowing broad internet solicitation. However, sales are still limited to investors in…

Read more »

Reg A Success Stories

Reg A Success Stories

At Dealflow’s Crowdfunding Conference in NYC last week one of the speakers (a good friend of mine) said that only 2 Reg A+ offerings thus far have closed (been successful), one in real estate (Fundrise) and one in automotive (Elio Motors, a FundAmerica/StartEngine/Hambrecht/Jumpstart customer). That’s incorrect. FundAmerica has, thus far, been a technology and compliance service provider to 11 Reg A+ offerings. Of those, 3 have “failed”, meaning they did not reach their minimums and investors were refunded from escrow. Of the other 8, 6 have met their minimums (and started receiving disbursements from escrow even as they continue to raise capital) and 2 are…

Read more »

Alternative Finance in Europe grew to €5.4 billion

images (8)

By Ronald Kleverlaan,  Crowdfunding Beat Guest post, Crowdfunding strategy, CrowdfundingHub, advisor European Commission, co-founder European Crowdfunding Network The European online alternative finance market grew 92% to €5.4 billion in 2015, according to the second annual survey by theCambridge Centre for Alternative Finance, in partnership withCrowdfundingHub, KPMG and supported by CME Group Foundation.   Total amount of funding between 2013-2015 Sustaining Momentum The report released today, entitled “Sustaining Momentum”, had the support of 17 major European industry associations and research partners, and was based on data from 367 crowdfunding, peer-to-peer lending and other alternative finance intermediaries from 32 European countries – capturing an estimated 90 per…

Read more »

Intermediaries, Trust and Equity Crowdfunding

FullSizeRender-1 (1)

By Paul Niederer CrowdFundBeat Sr. Contributing Editor Intermediary-controlled trust has been the main game in selling shares and equity since the 1930’s. That is why regulators have latched onto intermediaries, and their existing regimes to regulate the emergence of crowdfunding. However intermediary-less trust is on its way. A truism that is getting stronger and stronger is that “the crowd will catch a bad actor long before the regulator will”. The persistent focus on intermediaries by regulators means that they have not empowered the assistance the crowd can give in keeping equity crowdfunding participants honest. If blockchains become the new way to evidence trusted equity crowdfunding transactions we…

Read more »

Understanding Reg CF: Discussing financial results

Understanding Reg CF: Discussing financial results

By Sara Hanks , CrowdFundBeat  Sr.contributing Guest Editor  CEO/Founder, CrowdCheck, Inc. As we have previously discussed, the Regulation CF disclosure requirement for thefinancial condition of the issuer has the potential to get inexperienced companies in trouble. It is in this section of the disclosure that optimistic entrepreneurs may provide misleading information by not providing the full details of performance measurements, or by not including information on the assumptions underlying any financial projections. Such statements may be misleading in their own right, or may omit information necessary to make the provided information not misleading – also known as securities fraud(link is external) (see paragraph (c)). As we have…

Read more »

Death to the Accredited Investor Rules

FeaturedImage

By Jorge Newbery,  CrowdFundBeat contributing Guest Editor,  Founder and Chief Executive Officer of American Homeowner Preservation LLC The American Dream is dying. Social mobility in America has all but perished for the majority of Americans. With an extraordinary concentration of wealth amongst the richest, working-class Americans are often shut out of opportunities that could allow them to rise. Investments enable citizens to bolster their incomes and plan their financial futures. But, while rules and regulations prohibit most Americans from participating in higher yielding ventures, our society’s wealth gap will continue to widen. The inequality of investment possibilities can be largely attributed to the Security and Exchange…

Read more »

iDisclose Partners With Republic on Its Title III Crowdfunding

Republic-Featured-Image

Crowdfund Beat News, iDisclose Provides Republic Users With a Low Cost Legal Solution to Comply With Title III Crowdfunding Regulations NEW YORK, NY–(Marketwired – July 18, 2016) – iDisclose announced today that it is proud to be a part of Republic’s Title III crowdfunding launch. The AngelList spinoff and funding portal officially launched today with iDisclose as its exclusive Form C service provider. Each Republic issuer is provided with access to the iDisclose application to prepare their Form C at a fraction of the time and cost of using a traditional lawyer or law firm. Using a series of adaptive questions, similar to TurboTax TM,…

Read more »

A Reflection of Online Money Lending

P2P

By Steve Cinelli , CrowdFund Beat Sr. Editor, @stevecinelli Some many months back, in fact prior to their listings, I wrote a piece questioning the lofty valuations of the marketplace lending platforms (LC and ONDK) as they entered the public markets.  The basic thesis was recognizing the fundamental business these platforms engaged, i.e., money lending, and how others in the same space, albeit not as “technology positioned”, delivered the same product and/or service, and I thus intimated that the newbies should be valued with similar metrics to the incumbent financial institutions. In observing the platforms’ performances over the last year, as well as evolving market conditions,…

Read more »

Is Real Estate Crowdfunding Offers An Attractive Alternative For Secure Investments?

AAEAAQAAAAAAAAdQAAAAJDVmNDBmMzA3LTk1ODctNGE0OS05MWQ3LWE4ZTQ3MjQ0YmNkMQ

By Yemani Mason Founder at VestMunity.com, Crowdfund Beat Guest post, Over the past several years, home prices have been on the rise – particularly in South Florida. According to the Sun-Sentinel, “In South Florida, median home prices have been on the upswing in recent years and rose modestly in April.” Additionally, more and more people are moving to Miami, adding to an already active real estate market.Realestatearama reports that, “South Florida’s tax environment (no state income tax in Florida), growing tech industry and infrastructure improvements are leading more Americans to relocate to Miami…The trend of Americans moving to Miami is going to continue.” Still, many people may…

Read more »

Five Ways that Brexit Will Complicate Cross-Border M&A

BREXIT-1

By Jonathan B. Wilson CrowdFundBeat Sr. Guest Editor, Partner, Taylor English Duma LLP  Last week’s referendum in the UK and the decision for Great Britain to exit the European Union has caused turmoil in financial markets.  For M&A practitioners, however, the impact is only just beginning.  Here are five key ways in which Brexit will complicate cross-border M&A: 1. Deal Terms Will Need to Contemplate the Potential for Additional Exits If you thought the UK exit was tumultuous, just imagine the complications that might result if the Netherlands, France or another EU stalwart held a referendum that allowed its voters to possibly leave the EU.  M&A…

Read more »

HEADLINE NEWS

Telegraph.co.ukWellesley to freeze crowdfunding campaign as it courts City investorsTelegraph.co.ukPeer-to-peer property lender Wellesley is suspending its crowd-funding efforts as it courts City investors to help fund its expansion. Wellesley is set to pause its campaign that asked s [...]

UC BerkeleyCrowdfunding expands innovation financing to underserved regionsUC Berkeley“But crowdfunding has opened up funding to everyone else.” The article was published in a recent edition of the journal Science. For the study, researchers analyzed data from 2009 to 2015 on successf [...]

Crowdfunding Helps Little Red Feather Buy Horse Share ...BloodHorse.com (press release) (registration) (blog)Little Red Feather Racing (LRF) announced Jan. 13 that under their recently established LRF Thoroughbred Fund ("Fund"), they have acquired a minority ...and more » [...]

VentureBeatHere's how regulation crowdfunding performed in 2016VentureBeatIn May, the third and final part of the 2012 JOBS Act, Regulation Crowdfunding, went into effect and 2016 ended with much promise for entrepreneurs seeking funding and our government seeking jobs. Regulatio [...]

NBC 10 PhiladelphiaTrenton Bakery Raises $6 Thousand From CrowdfundingNBC 10 PhiladelphiaA brand new bakery in Trenton is launching its grand opening on Saturday, but the grand opening – or even the bakery – wouldn't be possible without crowdfunding. Studio B received six thousan [...]

EntrepreneurHow Will Donald Trump's Presidency Affect Crowdfunding?EntrepreneurDonald Trump will soon be inaugurated as the country's 45th president and will potentially impact the burgeoning crowdfunding industry in a "yuge" way. Before ...and more » [...]

Chicago startups now can use crowdfunding to raise equity fundingChicago Business JournalIndiegogo, one of the most popular rewards-based crowdfunding platforms, announced late last year that project supporters will be able to make equity investments after the Securities and Exchange [...]

Forbes'Star Citizen' Lumbers Into 2017 With $141 Million In CrowdfundingForbesWhile HL3 is more a question if Valve ever feels like making video games again, Star Citizen is another animal entirely, a game that's very publicly in development with a practically unlimited [...]

Popular MechanicsWhy You Shouldn't Trust a Crowdfunding Project: Volume InfinityPopular MechanicsThis, unfortunately, is not an unheard of end for crowdfunding campaigns. Kickstarter has done its best to mitigate these failures by requiring folks who wish to run a project to show [...]

Crowdfund InsiderCrowdfunding a Sports Car: Dubuc Motors Seeks up to $20 Million on StartEngineCrowdfund InsiderCrowdfund Insider originally covered Dubuc's crowdfunding project a year ago when the company commenced “testing the waters” for investor interest. Today, they are well [...]

CFB Finance

Marketwired

  • Crowdfunding
  • Crowdfund
  • Peer to Peer Lending
  • FinTech
  • Reg A+
  • Reg CF
  • Crowdfunding USA

Press Release

Live Crowdfunding .tv

What's Next Step in Regulation A+ JOBS ACTS Title IIII :L Interview : Steve Cinelli with Brian Korn Securities and Crowdfunding/Peer-to-Peer Lending Lawyer, Watch more video library | Conference | Interview | Campaign Showcase | Research | Education |