FUNDING SOURCES Archives - The 411 On Startups (tm)

Regulation A+ Explained

Jul

2015

Though some may quibble over the details, June 19, 2015, was an historic day in U.S. regulatory history, at least as far as raising capital for small businesses is concerned – the first day that Regulation A+ became operable. Ever since 1933, the only lawful way a company could sell a piece of the action ...

Why every entrepreneur should consider a Mini-IPO

Jul

2015

Title IV of the 2012 JOBS Act kicked in today. Now, the fastest growing private companies in America can conduct Mini-IPOs and raise up to $50 million from anyone. Historically, investing in startups and small businesses was reserved for just accredited investors, or just the wealthiest 2 percent of America. Now, after three years of ...

Mini IPOs — Regulation A

Jul

2015

Growing companies seeking to raise up to $50 million have a new financing option, starting Friday: a process that will open some private businesses to a wide pool of new investors. More than three years in the making, the regulatory change, an expanded version of a rule known as Regulation A, is intended to let ...

5 Secrets to a Successful Equity Crowdfunding Campaign

Jun

2015

Funding your startup or growth company through equity crowdfunding platforms has the potential to raise money faster and more efficiently than other venues. The beauty of going down this route is that it makes the fundraising process seamless from the initial contact through closing the deal. Here are five strategies that will increase your likelihood ...

Studies Find Angels Significantly Impact Success Of Funded Companies – Forbes

Jun

2015

. . . . .Two studies show real evidence that startups backed by strong angels really do better than their counterparts that fail to get such funding. The studies by Harvard Business School professors William Kerr and Josh Lerner and MIT Sloan School of Management professor Antoinette Schoar (along with Stanislav Sokolinsky and Karen Wilson) ...

Introduction To A Venture Capitalist? There’s An App For That

Jun

2015

Warm introductions are still the best way to meet an investor, however, scrappy venture capitalists know that ideas can come from anywhere – including from outside of their network. The venture capital industry exists because of entrepreneurs but it you’re an entrepreneur you’d hardly think you existed in the eyes of VCs. And you’d be ...

SEC OKs Equity Crowdfunding, So Anyone Can Invest In Private Companies | TechCrunch

May

2015

Earlier this week, the Securities and Exchange Commission (SEC) announced a new set of rules implementing Title IV of the JOBS Act. These changes affect Regulation A small public offerings, and are colloquially referred to as “Reg A+”. The release of these final rules further advances one of the core principles and goals of the ...

Crowd Funding Has Not Killed Angel Investing Yet

May

2014

Crowd Funding Has Not Killed Angel Investing Yet Entrepreneurs who require funding for their startup have long counted on self-accredited high net worth individuals (“angels”) to fill their needs, after friends and family, and before they qualify for institutional investments (“VCs”). New crowd funding platforms on the Internet, like and , as well as the ...

Startup Orphans and the Series A Crunch – Is There One?

May

2013

The Series A Crunch is a supply-demand imbalance that will result in over 1000 seeded startups being orphaned and more than $1 billion of investment evaporating. It is all part of a healthy natural selection process. Our Seed Investing Report analyzes 4056 seed investments made into US-based technology companies since Q1 2009. For clarification, seed ...

Victoria Silchenko: Equity Crowdfunding: Next Generation of Angel Investors Is Not Sorry to Disrupt

May

2013

Nikola Tesla wrote once, “The present is theirs; the future, for which I really worked, is mine.” I can see this being quoted by any supporter of equity based crowdfunding (or crowdinvesting) — an innovative online tool that would give you a legitimate right to own a stake in a company you choose to invest ...