StartEngine, one of the largest securities crowdfunding platforms in the US, says the number of firms raising money on its platform has more than doubled in just one year. StartEngine reports that 69 issuers signed in Q1 of 20224, with 148 following in Q2 and 178 in Q3. This far exceeds the same periods last year.
While we have not (yet) compared StartEngine to the entire ecosystem, the encouraging information may be driven by economic optimism, growing awareness of online capital formation, or StartEngine’s push into private securities offerings under Reg D. StartEngine does add that their numbers include issuers “testing the waters” (TTW) which does not guarantee an offering will actually go live.
StartEngine adds that “StartEngine Private,” offerings for Accredited Investors, helped to push them to profitability or at least a gross profit of $4.9 million through Q2. The company did not include Q3 data.
StartEngine is once again using their own services to raise more growth capital for the company. Recently, StartEngine filed a new Form 1-A indicating a forthcoming funding round, that will apparently provide an opportunity for some existing shareholders to sell some of their shares.
