A private investment platform focused on providing access to select funds, expertly vetted technology companies and as a white label solution for sponsors and funds.
The answer for us is a blend of best of both worlds – the automation and reach of an advanced Fintech platform with the beating heart of an international investment bank.
A community of institutional and individual investors.
A partnership with firms to raise capital.
Going out to our traditional institutional mix and adding in the opportunity to bring investments to accredited investors has led us to create and begin to connect with a community of over 75,000 investors as our base – and the ability to grow and connect with literally millions of others worldwide.
The platform is backed by the Saxon Weber Group’s international investment banking brand which collectively has participated in over $12b in transactions.
A private international network of accredited investors, institutional investors and wealth advisors acting directly or on behalf of their clients.
Here’s some of what makes our community different:
> Deal flow and access to expertly curated early stage technology companies and projects scouted for differentiated offerings in technology, intellectual property, market and application solution.
>White label solution for sponsors and funds.
> Unlike other industry agnostic listing services and general deal-flow platforms, all of our companies and projects are vetted deeply for quality and fit prior to publishing by best-in-class due diligence and in-house subject matter experts.
> Ability to become an investment banker, advisor or venture capital / angel Affiliate Partner on the platform with associated offerings and access to proprietary investor networks.
> A preference and social network driven marketplace with the ability to customize the investor experience in terms of deal flow, interest and access.
Blue Sky Director at equityfor Private Securities and Managing Director Saxon Weber Private Capital
President at ADV Integrity Inc., a Houston based innovator in engineering methods and business strategy.
Chief Executive Officer at North Capital Private Securities (NCPS), a registered broker-dealer
Chief Financial Officer at North Capital Private Securities (NCPS), a registered broker-dealer
Director of Private Funds at North Capital Private Securities (NCPS), a registered broker-dealer
Director of Origination at North Capital Private Securities (NCPS), a registered broker-dealer
Technology Operations at North Capital Private Securities (NCPS), a registered broker-dealer
Director of Compliance at North Capital Private Securities (NCPS), a registered broker-dealer
For press inquiries please call 917-475-9199 or email at firstname.lastname@example.org
A COMPANY ON THE FAST TRACK
New York, NY
Marketing Communications Intern
New York, NY
Digital Marketing Intern
Clifton Park, NY
Marketing Communications Intern
What is equityfor?
equityfor is an investing platform providing its members access to vetted investment opportunities. equityfor was founded by a team of seasoned investment bankers and industry leaders. We found that there are a considerable number of outstanding companies that are unable to access the proper capital needed. We created equityfor to help address this gap while providing individuals and institutional investors proprietary deal flow and access to opportunities to invest in early stage companies. Many of our investors have deep experience in Energy, Technology and Finance and can provide strategic guidance and support to companies on equityfor.
Who can invest on the equityfor platform?
You must qualify as an Accredited Investor to view and invest in any of the companies listed on the site.
What is an Accredited Investor?
In order to view and invest in any of the companies listed on the site, each user must qualify as an Accredited Investor as defined by the Securities and Exchange Commission in Rule 501 of Regulation D of the Securities Act of 1933, Qualifying persons includes someone who meets one of the following requirements:
Have individual net worth, or joint net worth with your spouse exceeding $1 million (excluding the value of a primary residence).
Have income exceeding $200,000 in each of the past 2 years and expect the same this year
Have income (with your spouse) exceeding $300,000 in each of the past 2 years and expect the same this year.
Invest on behalf of a VC firm or other registered investment company
Invest on behalf of a business with $5 million in assets or in which all the equity owners are accredited
Each user must identify specific information about themselves and specify which of the accredited investor requirements he/she meets. When making an investment, each investor must again represent and warrant that they are an Accredited Investor.
How does a company get listed on equityfor?
Companies apply to be listed on equityfor. equityfor’s team requests information and reviews each Company for its investment potential and fit with the investors on the platform. Only a small percentage of Companies will be selected to list on equityfor. Before a Company can be listed as an offering and accept investors, we perform institutional grade due diligence using Crowdcheck, as well as thoroughly reviewing it using our own industry expertise. We also have the offering documents reviewed by a third-party attorney. Once reviews are completed and the Company is cleared to our full satisfaction, the company may be listed on the platform.
How does the investment process work?
When you make your investment, the money is securely held in an independent escrow account at a major national bank. Once the Company has raised the minimum investment, the money is transferred to the company and you become a shareholder. If the minimum is not met, the bank will return 100% of your investment directly to you.
Does equityfor charge fees to investors?
No, Equityfor does not charge management fees or expense fees to investors. Companies listing on equityfor are charged a fee. If Companies choose to utilize an SPV, the investment advisor of the SPV will receive a carried interest on the realized profit as described in the SPV Operating Agreement.
Will I get my investment back?
The companies on equityfor are early stage privately held companies. The investments are considered high risk and may not retain their value. It is also possible that you could lose all your investment. The shares are not traded on a public stock exchange. As a result, the shares are not easily traded or sold, they are illiquid investments. As an investor in a private company, you typically receive a return on your investment under the following scenarios:
The company gets acquired by another company.
The company pays a dividend.
The company goes public (undergoes an initial public offering on the NASDAQ, NYSE, or another exchange).
In those instances, you receive your pro-rata share of the distributions that occur. For example, if you’ve invested in a technology business that is purchased by a large public company, then you would receive your portion of the money that is paid out upon the sale of the business to that company. The business distributes the money directly to its shareholders. It can take 5-7 years (or longer) to see a distribution, as it takes years to build businesses. In many cases, there will not be any distribution because of business failure.
Are these investments risky?
Investing in early stage companies is risky. Many early stage businesses go out of business. If the company goes out of business, your investment will be worth nothing. The securities offered on the equityfor platform are not publicly traded and may not retain any value. These investments are intended to be for investors who do not have a need for a liquid investment. Investing in private placements requires a high-risk tolerance, low liquidity concerns, and long-term commitments. Investors must be able to afford to lose their entire investment.
Is there an investment minimum?
Yes. The minimum and maximum investments for a given round are determined by the Company raising capital. These will, therefore, differ for each opportunity but will be clearly specified in the information about the investment opportunity.
What would I own?
It is important to read the investor documents thoroughly. Investors typically receive preferred shares, common shares or convertible debt. These shares represent an ownership stake in the company. If the business is sold at some point, these shares entitle the investor to a percentage of what is earned in the sale of the business. The rights of the investors will differ depending on the instrument. Please review the offerings documents carefully to understand the investment.
What about US securities laws?
Like traditional private placement offerings, private companies offer securities to investors under Rule 506 of Regulation D on equityfor. All securities related activity is conducted through North Capital Private Securities – NCPS is the Broker Dealer of record. A Broker Dealer is the FINRA/SIPC member that provides compliance oversight to US regulatory rules on securities transactions, among other functions. In keeping with these regulations, opportunities to invest in these companies on equityfor are only open to accredited investors. The JOBS Act of 2012 created the ability to conduct among other things Rule 506c offerings which allows for general solicitation and are the offerings facilitated on equityfor through NCPS.
Under Rule 506(c):
A company is allowed to use general solicitation and advertising to market the investment
However, all investors in the offering must be Accredited Investors and undergo additional steps to verify their Accredited Investor status (i.e., providing W-2s, tax returns, bank and brokerage statements, etc.) before making an investment.
What about Reg CF and Reg A+?
We do not currently offer investments utilizing these regulations. We currently only offer Reg D, 506c offerings with Accredited Investors.
What does a Vetted company mean?
All Regulation D offerings marked as “Vetted” have successfully gone through our complete institutional grade due diligence process, which includes internal business due diligence, outsourced legal and confirmatory due diligence. Such investment opportunities are offered via NCPS, a registered broker-dealer. Due Diligence is provided by NCPS and Crowdcheck
Some of the things that Crowdcheck looks at are:
The organization of the Company
The corporate structure and ownership
Whether the company meets the disclosure requirements set out by law and regulation
Whether the company meets the SEC’s requirements for securityholder records (for offerings under “Regulation Crowdfunding”)
The backgrounds of the people who control the company including Bad Actor checks
Whether the company is properly established and in good standing
Whether the company is legally able to issue the securities it is offering
The company’s key employees and their backgrounds
Whether the company has all the required licenses to conduct business
The company’s customers and suppliers
The company’s premises and the terms of its occupancy
How the company’s plans might affect investors’ “exit” from the investment
A third-party law firm performs an independent review of the transaction documents.
NCPS Due Diligence:
NCPS conducts research and due diligence on each company before it is able to accept investments on the equityfor platform. NCPS as the broker/dealer reviews the company to determine its viability as an investment opportunity and the key risks associated with that opportunity. NCPS takes a multi-faceted approach to evaluating individual offerings. NCPS will typically conduct many hours of due diligence per opportunity, which requires the satisfactory completion of over 100 individual questions and data requests.
The following issues are investigated in the due diligence process:
Problem or inefficiency being addressed
Product overview, stage of development and anticipated milestones
Demonstrated traction/external validation
Data to support claims made in marketing materials
Management, Founders, Officers, Directors and their agreements, compensation and history
Competitive landscape and industry dynamics
Notwithstanding the foregoing, these investments are illiquid, risky and speculative and you may lose your entire investment. Additionally, the foregoing process does NOT guarantee that any company will be successful or that you will receive a positive return on your investment.
The foregoing is a summary of our standard process. However, each diligence review is tailored to the Company, so the process is not the exact process for every Company.
Completing the vetting process does NOT guarantee that the company has no outstanding issues or that problems will not arise in the future.
While the foregoing process is designed to identify material issues, there is no guarantee that there will not be errors, omissions, or oversights in the due diligence process or in the work of third party vendors utilized by NCPS, and Equityfor.
Each investor must conduct their own independent review of documentation and perform their own independent due diligence and should ask for any further information required to make an investment decision.
Can I invest anonymously?
You will need to enter your full details on the platform and these will have to be made available to the Company and NCPS. Other than that, we allow investors on our platform to choose to not publicly disclose their investments. Non-disclosed investments will be shown only in the investor’s dashboard. The investment will be shown as Anonymous to the public.
How is the valuation determined?
A company will set its own valuation. However, a company oftentimes has pre-existing investor traction, who are often professional angels or venture capitalists. The terms established with these investors, typically serve as the basis of the valuation and terms offered to online investors on Equityfor. There cannot be any assurance the valuation is accurate or in agreement with the market or industry valuations. Valuations however, are intended to be in line with industry comparables.
What are the tax implications of this investment?
We cannot give tax advice, and we suggest you talk with your accountant or other tax advisor.
Can I invest through my LLC, LP or Corp?
Yes. When you are investing through your entity, we complete the investment process offline and will need some additional information from you. You would need to provide the following information for us to complete the investment:
1) A copy of the articles of incorporation or organization of the entity that will be investing; and 2) Signed investment documents signed on behalf of the entity rather than you personally.
If you would like to invest in a company on equityfor through your entity, please email us at email@example.com
I don’t live in the US, can I still invest?
Yes. We generally accept all investments, though you may be restricted from investing in certain circumstances depending on the jurisdiction in which you live in and its local laws. You will be asked to provide the following information: 1) A copy of your photo ID or passport (if investing as an individual); 2) Foreign Tax ID. Please email us at firstname.lastname@example.org if you have any questions.
What is a SPV?
An SPV (Special Purpose Vehicle) is a pooled investment vehicle which collects funds from several investors into a single Limited Liability Company (Investor Syndicate/SPV). The SPV then invests as a single entity into a single company.
The Company raising a round will decide whether or not to utilize an SPV. Investors investing via. an SPV are signing documents to invest in the SPV instead of the Company’s Subscription Agreement. An SPV enables the Company to expand its investor base to include smaller investors while at the same time, since the SPV invests as a single investor, enabling the Company to maintain a manageable number of investors in the Company. From the investor’s perspective, the SPV will have the benefit of the collective group, being a larger investor in the Company, having a greater say collectively in the shareholder base than they would individually.
Can non-accredited investors invest?
No, not currently through equityfor. Please see What is an Accredited Investor.
Who does due diligence on the company?
NCPS as the broker/dealer of record, is ultimately responsible for due diligence on the Company. We have an extremely thorough process which also includes Crowdcheck as well as a third-party law firm. See Vetted. We recommend every investor perform their own independent due diligence as well and should ask for any further information required to make an investment decision.
What is Crowdcheck?
CrowdCheck is a 3rd party due diligence company that offers a weapon against potential fraud and helps investors make good investment decisions.
Do I need an attorney to review the Subscription Agreement?
A third-party law firm will review the Company’s subscription agreement. However, we recommend you thoroughly review the Investor Documents and have your own attorney review before signing.
How do I contact the company for diligence and general communication?
To learn more about a company, you can review the offering materials in the dataroom. Depending on the offering you may be able to message the company directly or post questions to the company and general investment community on an open forum to facilitate investor communication and discussion.
What is NCPS, and what do they do?
How do I get my company listed on equityfor?
The first step is to apply by clicking here, so we can conduct an initial review and let you know our thoughts as to the fit of your company with Equityfor. If there is a good fit, we will connect to learn more about your company and conduct initial due diligence. Assuming the company passes this initial due diligence review we then may ask you to execute a Placement Agreement. After you have executed a Placement Agreement, you will have access to upload relevant company documents and collaborate with equity for to setup your profile. Once your information is complete, we review then finalize with you, following which full due diligence is carried out. On successful completion, the company can be launched on the platform. If you think that you would be a fit with equityfor and would like to speak to us about having your company listed on equityfor please contact us at email@example.com.
Companies featured on the Vetted section have successfully completed the “Vetting” process by NCPS, and are offering their securities under Regulation D.
NCPS determine whether an offering should be accepted as a vetted investment opportunity. There is no guarantee that your company’s offering will be accepted.
equityfor focuses on listing companies that are in Energy, Technology and Fintech. We recommend that companies meet the following minimum requirements:
At a minimum, a viable product or prototype
Proof of market traction or impending market traction
More than one full-time team member with a strong, relevant background
Startups raising between $500,000 – $20,000,000+ (including off platform)
Companies looking to raise Seed Rounds, Series A Rounds, Bridge Rounds, and Growth Rounds
Although not required, Companies that already have strong early round investors or already have funding terms and have attracted a lead investor are excellent candidates for the platform as well.
Can non-accredited investors invest?
No, not currently through equityfor. Every investor will have to be an Accredited Investor.
What about US Securities regulations?
Like traditional private placement offerings, private companies offer securities to investors under Rule 506 of Regulation D on equityfor and through NCPS. All securities related activity is conducted through North Capital Private Securities – NCPS is the Broker Dealer of record. A Broker Dealer is a FINRA/SIPC member that provides compliance oversight to US regulatory rules on securities transactions, among other functions. In keeping with these regulations, opportunities to invest in these companies on equityfor are only open to accredited investors. The JOBS Act of 2012 created the ability to conduct among other things Rule 506c offerings which allows for general solicitation and are the offerings facilitated on equityfor through NCPS.
How long does it take to raise money?
It depends on the company, and not all companies succeed in raising capital using this approach. The time it takes to complete a successful financing can vary significantly and companies should expect that it will take a minimum of 60 days to complete.
How is my company’s valuation determined?
As the issuer, you will set the valuation of your company. Valuations on equityfor are intended to be in line with industry comparables. We will assess fit with our platform based on our criteria which includes valuation expectations and many other metrics. If you have pre-existing investor traction with professional angels or venture capitalists the terms established with these investors, would serve as a good basis of the valuation and terms offered to online investors on Equityfor.
How would I manage 100 investors coming on to my Cap Table?
A number of Companies will minimize the impact of numerous smaller investors by choosing to have the investors invest via an SPV. These are pooled investment vehicles which collect funds from several investors into a single Limited Liability Company (Investor Syndicate/SPV). The SPV is professionally managed by an administrator, invests as a single entity into a single company and has a single point of contact.
Can I use a convertible note to raise funds?
Yes. Companies may raise money through either equity or convertible debt.
What about confidentiality?
In order to allow equityfor’s investor community to make investment decisions, you will be required to share some information about your company. However, we understand the importance of securing sensitive information. You choose what summary information is shared with our entire investor community to gauge initial interest. Should investors express interest in learning more, you decide who gains access to the dealroom where additional information is stored. Your company’s information is only available to registered users (accredited investors) who are logged into equityfor, and each of these users has certified that they are an accredited investor. You choose the information you would like to share.
What rights will investors have?
Companies will structure the terms of their offering, including the rights that investors will receive.
Can I choose who gets to invest in my company?
Yes, the Company will decide who is allowed to invest in their Company.
I already have part of my raise committed, can I still list?
Yes, Companies that already have part of their raise committed are strong candidates to be listed on equityfor.
What is reservation round? Can I raise with just a term sheet?
A company may use a reservation round to measure investor interest in its raise and its terms ahead of investing the time and expense to assemble complete deal documents for a full raise. Instead a company will summarize the offering terms for investors through a term sheet. Reservations allow investors to indicate their interest in a company’s raise by reserving a portion of it before it begins accepting investments on equityfor. When an investor makes a reservation, they are indicating their interest to invest but this does not constitute a legally binding obligation; the investor is under no obligation to invest once they make a reservation and is able to cancel at any time. Once there is enough investor interest in the raise and a company begins accepting investments, investors are given the option of converting their reservation amount into an investment or canceling the reservation.
What is NCPS?
What is Crowdcheck?
CrowdCheck is a 3rd party due diligence company that gives another layer of validation to investors, an independent weapon against potential fraud and helps investors make good investment decisions. See Vetted.
Who provides the Offering Documents?
We do not prepare or advise on legal documents. Companies need to work with their counsel on documentation. We can recommend attorneys that have experience creating Offering Documents for Crowdfinance. Please email firstname.lastname@example.org
What material will I need to list?
At a minimum, you will need to include an overview presentation, historical and projected financials, term sheet. For a Vetted listing you will be provided a due diligence request list.
How much involvement do investors have after the close?
You will determine the best way to keep the investor community updated on the progress of your company. We encourage all companies who list on equityfor to provide quarterly updates to their shareholders.
What is an SPV?
An SPV (Special Purpose Vehicle) is a pooled investment vehicle which collects funds from several investors into a single Limited Liability Company (Investor Syndicate/SPV). The SPV then invests as a single entity into a single company and is professionally managed by an administrator.
The Company raising a round will decide whether or not to utilize an SPV. Investors investing via. an SPV are signing documents to invest in the SPV instead of the Company’s Subscription Agreement.
Are SPVs good for the investor or the company?
An SPV enables the Company to expand its investor base to include smaller investors while at the same time, since the SPV invests as a single investor, enabling the Company to maintain a manageable number of investors in the Company and have a single point of contact. From the investor’s perspective, the SPV will have the benefit of the collective group, being a larger investor in the Company, having a greater say collectively in the shareholder base than they would individually.
Will the SPV be actively managed?
The SPVs are intended to be passive investment vehicles but professionally maintained by an experienced administrator.
Are SPVs liquid investments?
No, the SPVs are not liquid investments. As with direct investing, investors should expect to have their capital tied up for several years.
What do investors pay to enter an SPV?
The investors will pay 15% carried interest on the realized profit as described in the SPV Operating Agreement. There is no management fee.
What do companies pay to have investors invest through an SPV?
Companies pay for the formation and administration of the SPV. The upfront cost of the SPV covers the lifetime cost plus the Blue-Sky Filings. The SPV is administered by a third-party company.
How many investors can invest in an SPV?
We limit the number of investors to 99 investors per SPV based on securities rules.
Who manages the SPV?
Each SPV is managed by Assure Fund Management and advised by Equityfor Investments, LLC
What happens if equityfor closes?
Because each SPV is managed by a third-party administrator, in the event that Equityfor closes, the maintenance of each SPV will continue. Additionally, Equityfor Investments, LLC or a trustee will continue to advise the SPV in the event of equityfor Private Securities’ bankruptcy, liquidation, dissolution, reorganization, or sale.