Tagged: seedinvest

The Definition of “Accredited Investor” Must Be Updated

A Crowd of $100 Benjamin Franklin

There has been a lot of uproar about new rules requiring additional steps to verify accredited investor status (i.e. checking tax returns) as a condition to using the new 506(c) rules permitting general solicitation. The real problem here is that the definition of accredited investor is out of touch with reality and is based on very sensitive personal… Read More

Ordr.In Intiates $400K Equity Crowdfunding on SeedInvest

Order.in fortune cookie

Thriving since raising its initial seed money from Google Ventures in 2011, Ordr.In, the open platform for online food ordering, has initiated a fundraising campaign on SeedInvest, an equity-based crowdfunding platform that connects accredited investors to startups.  To date, Ordr.in’s campaign has raised $30,000 for this round, and $100,000 has been committed toward its $400,000… Read More

Virtuix Crowdfunding For Equity On SeedInvest After Million-Dollar Kickstarter Campaign For Omni VR Gaming Device

omni

Virtuix found itself at the center of a revolutionary shift in the video game industry after they raised over $1.1 million on Kickstarter. The campaign funded the Virtuix Omni, an immersive treadmill-like device for gamers. According to a recent backer update, shipping has begun for Kickstarter backers. When paired with a device like Oculus’s Rift… Read More

SeedInvest Hammers the Cost Challenge of Crowdfunding in SEC Comment Letter

Cost of Regulations

SeedInvest, an equity crowdfunding platform that is currently operating as an accredited investor site, recently submitted two comment letters to the Securities and Exchange Commission (SEC).  The documents were posted to the section regarding proposed rules regarding the JOBS Act, Title III commonly referred to as crowdfunding.  This section of the JOBS Act refers to… Read More

Crowdfunding Costs Are Too High. Tell the SEC Today!

$50 Grant

Since the proposed crowdfunding rules were released on October 23, 2013, the top concern for many in the industry has been that the costs of compliance would make crowdfunding too expensive to be useful. Our Crowdfunding Cost Model further backed up this concern, indicating that offerings under approximately $115,000 would actually result in negative cash… Read More

Is Financial Disclosure for Crowdfunding Companies Too Expensive?

JOBS Act US Capital Christmas

Compilation vs. Review vs. Audit for offerings of more than $500,000? Efforts to influence the final proposed rule for Financial Disclosure (Section 4A(b)(1)(D)), requires “a description of the financial condition of the issuer,” in which regulators have requested comments from the public for the Final Proposed Crowdfunding Rules released on October 23, 2013.  Industry pioneers,… Read More

UPDATED: The Top 10 US Equity Crowdfunding Platforms

Crowdfunding

UPDATE: At least one crowdfunding platform has stepped forward saying they were left off the list. iFunding emailed Crowdfund Insider to clarify that they have raised about $3 million on their platform since launch. RockThePost has shared a top-ten list of equity crowdfunding platforms currently operating in the US. The post clarifies that the source isn’t being shared… Read More

SeedInvest Models Cost of Crowdfunding Under Title III, Shows Need for Reality Check from SEC

$1000 in $100 Bills

Equity crowdfunding platform SeedInvest, which currently offers investments in startups for accredited investors, has put together an estimated cost spread sheet if Title III Crowdfunding regulations were applied today.  The results show a detrimental process for small companies attempting to raise capital.  In fact for a $99,999 equity crowdfunding round the results are a negative… Read More

SeedInvest Weighs In On Equity Crowdfunding Proposed Rules

seedinvest

In one statement, equity crowdfunding platform SeedInvest summarized their thoughts on the proposed rules for equity crowdfunding. SeedInvest is thrilled by the SEC’s proposal on equity crowdfunding. “We thank the SEC for referencing our letters (including CFIRA’s) 60 times, for sticking to the original intention of the JOBS Act and for submitting a very workable proposal,” the post… Read More

SeedInvest Creates General Solicitation Cheat Sheet

SeedInvest

Earlier today we shared with you an excellent description of the changes in General Solicitation coming from Kiran Lingam at SeedInvest.  The document focused on demo days and was a good read.  Kiran has returned to produce a document for those of us with limited time or simply too impatient which synthesizes the new regulations…. Read More

SeedInvest Releases White Paper: “Living with New Reg D…”

seedinvest

Coinciding with the relaxation in general solicitation, or advertising  for certain private placements, equity crowdfunding platform SeedInvest has released a White Paper on the regulator change addressing the new playing field.  The document is titled “Living with the New Reg D and its impact on Demo Days and Pitch Events“. The document was authored by Kiran… Read More

WATCH: General Assembly Hosts Panel On General Solicitation For Entrepreneurs

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SeedInvest general counsel Kiran Lingam and Cooley, LLP partner Jim Fulton recently took part in a panel hosted by General Assembly. The goal was to wrap some perspective around the changes coming with Title II of the JOBS Act and general solicitation for offerings under rule 506(c) of Regulation D. This is an excellent primer on… Read More

In-Depth: BancBox’s Payment Solution for Crowdfunding Platforms

BancBoxCrowd

One of the most important decisions any crowdfunding platform will undertake is deciding how to process payments. Platforms operate in a very specific (and complicated) context. In particular, two issues are bound to come up when considering whether to adopt a certain payment solution… Escrow – Placing funds in some form of escrow is core… Read More

STAR Angel Network’s Erica Minnihan On Crowdfunding, LISNR & SeedInvest

star-angel-network

We recently reported on SeedInvest Groups, a product aimed at angel groups and other investor networks. Recently the STAR Angel Network leveraged SeedInvest groups to close a round for Cincinnati-based mobile app startup LISNR. It’s a somewhat ridiculous event: hop on a bus to SXSW, build a company during the trip and pitch it at… Read More

Breaking Down General Solicitation For Private Placements In The US

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Mark your calendar. July 10th was a big day in the fight for increased access to capital in the United States, as well as the overarching timeline of the fledgeling crowdfunding industry. Title II of the JOBS Act mandated a lifting of the ban on general solicitation for private placement offerings, creating a new class… Read More

SeedInvest Seeking Partnerships With VCs, Angel Groups: SeedInvest Groups

seedinvest

SeedInvest has launched a new feature on their equity crowdfunding platform. The feature, called SeedInvest Groups, specifically targets angel groups, venture capitalists and other organizations with an active role in funding early-stage companies. SeedInvest CEO Ryan Feit says that the new feature was largely driven by market demand. “We’ve been working pretty closely with some… Read More

SeedInvest Raises $1 Million In Round Led By Jumpstart New Jersey Angel Network

seedinvest

SeedInvest has announced today that the equity-based crowdfunding platform has raised $1 million in a round led by the Jumpstart New Jersey Angel Network. The round is said to also include “several prominent individual investors.” “SeedInvest is opening up new opportunities for a vast population of accredited investors, and will bring enormous amounts of new… Read More

SeedInvest bridges angels, VCs, crowdfunding

SeedInvest

Some have said that crowdfunding will somehow replace angel investors or venture capitalists. Ryan Feit doesn’t see it that way, and it’s not how SeedInvest, the New York City crowdfunding site he co-founded, is operating in its first few weeks. Instead, he told me, SeedInvest is partnering with angel groups on choosing which companies get to raise money… Read More

DietBet Beats Crowdfunding Goal On SeedInvest, Raises $300K

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DietBet, the social dieting company, has raised $308,000 in bridge funding through equity crowdsourcing platform, SeedInvest. DietBet is the second company to meet its funding initiatives on SeedInvest in the last month. The company launched in February 2013 and has more than 400 active accredited investors and more than 300 companies on its platform. “We… Read More

Ryan Feit to Present at The Soho Loft Investing Symposium

Ryan Feit Seedinvest

SeedInvest CEO and Co-Founder, Ryan Feit, will deliver a presentation and moderate a panel at The Soho Loft Innovative Investing Symposium on April 3, 2013 in Boston, MA. Mr. Feit will be presenting a case study highlighting the successful equity-crowdfunding initiative by StearClear in which the company oversold its fund raise by 40% in just… Read More