Employing Crowdfunding to Start or Expand Your Business Tony Robbins Business Mastery Webinar Series January 31, 2017
Employing Crowdfunding
to Start or Expand Your
Business
Tony Robbins Business Mastery Webinar SeriesJanuary 31, 2017
© 2016 Dara Albright Media, All Rights Reserved
@ToTheStoics
@DaraAlbrightMedia
www.Linkedin.com/in/DaraAlbright
Speaker, writer and influencer on topics relating to Market Structure, New Issues, Fintech, P2P and Crowdfinance.
About Dara Albright
www.daraalbrightmedia.com
© 2016 Dara Albright Media, All Rights Reserved
Crowdfunding is NOT begging – It is CrowdFINANCING
Crowdfinance is just like regular finance with one fundamental exception…
Instead of capital coming from big institutions or Government entities, it is being raised by pooling small
amounts of monies from a large crowd of individuals
© 2016 Dara Albright Media, All Rights Reserved
Equity Crowdfunding is the Rebalancing of CapitalIn its simplistic explanation, equity crowdfunding is nothing more than the rebalancing of capital from
America’s corporate conglomerates and financial institutions to its entrepreneurs and small retail investors
© 2016 Dara Albright Media, All Rights Reserved
© 2016 Dara Albright Media, All Rights Reserved
Successful Rewards-based Crowdfunding Raises
© 2016 Dara Albright Media, All Rights Reserved
© 2016 Dara Albright Media, All Rights Reserved
Successful Securities-based Crowdfunding Raises
First “Crowdfunded IPO” via Reg A+$17M was raised from 6500 investors
UBER raised a $1.25M seed round on AngelList in 2010 at a $4M valuation.
A $10K investment on AngelListwould be worth over $100M today!
Smarty Pants raised a $2.59M seed round on CircleUp
© 2016 Dara Albright Media, All Rights Reserved
© 2016 Dara Albright Media, All Rights Reserved
Rewards
Equity
Debt
Convertible
© 2016 Dara Albright Media, All Rights Reserved
Platform Website Business Model Fee Structure Niche
AngelList www.angel.co Online VC & recruiting services model Backend carry / recruiting commissions Startups – especially technology. Great exposure to prominent angels and VCs.
BANQ www.banq.co Registered broker-dealer Success fees Broad spectrum of private, public and secondary offerings
CircleUp Network www.circleup.com Registered broker-dealer Success fees (no fees on pre-existing relationships) Ideal for consumer businesses
crowdfunder www.crowdfunder.com Monthly service fees Monthly fees ranging $299 to $999 per month Seed, Series A and Series B
Dealflow www.dealflow.com Service fee model Varies by deal Various debt financings
EquityNet www.equitynet.com Service fee model Monthly service fees as low as $69 per month and subscription ad-on fees
Cost-effective services and guidance offered to issuers
Fundable www.fundable.com Service Fee Model $179 per month, credit card processing fees Rewards and Equity
FundersClub www.fundersclub.com Online VC Carried Interest Dealflow from VCs, angel investors, incubators, and accelerators
FundingCircle www.fundingcircle.com Origination Fees origination fee on each loan we fund ranging from 0.99% – 6.99% Debt financing
Microventures www.microventures.com Registered broker-dealer Success fees Sweet spot is companies raising between $150,000 to $1,000,000
NetCapital www.netcapital.com Transaction based 4.9% success fee Equity financing for Private companies
OfferBoard www.offerboard.com Broker-dealer model (partnership) Success fees, occasional fees for DD and document prep Emerging growth companies seeking $1 to $25M
Onevest www.onevest.com Broker-dealer model (partnership) 5% success fee (no fees on pre-existing relationships) / recruiting services fees
Seed, bridge, or Series A
OurCrowd www.ourcrowd.com VC model Administrative fee (4%), Management fee (2%) and carried interest on exit proceeds
Great for tapping into Israeli innovation and investors
SeedInvest www.seedinvest.com Broker-dealer model (partnership) $2500 due diligence fee, 7.5% placement fee, $250 per month technology fee
Seed Rounds, Series A Rounds, and Bridge Rounds
StartEngine www.startengine.com Service Fee Model Flat fee for Reg A+ offerings. 5% success fee for Reg CF Offerings Ideal for Reg A+ and Testing the Waters Campaigns
StreetShares www.streetshares.com Origination fees one-time origination fee of either 3.95% or 4.95% Veteran Owned Businesses, debt financing
VIAFolio www.viafolio.com Registered broker-dealer 1% one time fee for use of the platform by an issuer & 4% success broad variety of offering types / issuer sectors
Wefunder www.wefunder.com SPV model $2000 to $4000 administration fee Startups
© 2016 Dara Albright Media, All Rights Reserved
Legal Resources
Brian Kornhttps://www.manatt.com/
Georgia Quinnhttp://idisclose.com/
Vincent Russohttp://www.robbinsfirm.com/
Jillian Sidotihttp://www.crowdfundinglawyers.net/
Mark Roderickhttps://crowdfundattny.com/
Doug Ellenoffhttp://www.egsllp.com/
© 2016 Dara Albright Media, All Rights Reserved
Marketing Resources
https://www.krowdster.co/ https://www.crowdfundx.io/
© 2016 Dara Albright Media, All Rights Reserved
Where can I learn more about Crowdfunding?Discover Crowdfunding Events
May 2017 New York City
https://www.crowdinvestsummit.com/
February 2017 Las Vegas
http://www.crowdconvergecon.com/
© 2016 Dara Albright Media, All Rights Reserved
Where can I learn more about Crowdfunding?Media Resources
© 2016 Dara Albright Media, All Rights Reserved
Tips to Successful Crowdfunding CampaignsEven on a shoestring budget
• Always be building your network• It costs nothing to target and connect with influencers (ie: bloggers,
journalists who cover your industry) on social media
• Pre-crowdfunding campaign commitments • Experts suggest getting at least 25% of the funding goal committed pre-launch
• Always be communicating• It costs nothing to keep shareholders and customers updated on your
progress, and yes, even your disappointments
• Never plead and always be appreciative• Remember your not begging, your crowdfunding!
Capital Exploration Through Crowdfinance Gives Us a Chance to Fail!
Sometimes our most crushing failures lead us to our most valued accomplishments!
© 2016 Dara Albright Media, All Rights Reserved
The Story of the Car RadioA lesson in persistence
“Never, never, never give up” – Winston Churchill
© 2016 Dara Albright Media, All Rights Reserved
Keep Stepping Forward without Fear
“Life is about moments; don't wait for them, create them.” – Tony Robbins
© 2016 Dara Albright Media, All Rights Reserved
@ToTheStoics
@DaraAlbrightMedia
www.Linkedin.com/in/DaraAlbright
Speaker, writer and influencer on topics relating to Market Structure, New Issues, Fintech, P2P and Crowdfinance.
About Dara Albright
www.daraalbrightmedia.com
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