Equity Crowdfunding for Investors : A Guide to Risks, Returns, Regulations, Funding Portals, Due Diligence, and Deal Terms.

Cover -- Title Page -- Copyright -- Contents -- Foreword -- Preface: The New Angel Investors -- Definitions of Key Terms -- Acknowledgments -- About the Authors -- Chapter 1 The Foundations of Online Crowdfunding -- The Internet Doesn't Change Everything -- But the Internet Changes Some Things -- Rewards Crowdfunding Blasts Off -- Wisdom and Madness of the Crowd -- Rewards as a Gateway to Equity -- Debt and Donation Crowdfunding -- Lending to Your Peers -- Donation Crowdfunding -- Emergence of Equity Crowdfunding -- Chapter 2 Equity Offering Platforms (under Regulation D) -- Definitions -- Liquidity -- Liability -- Regulation D Basics -- Regulation D Offering Platforms -- Deregulating General Solicitation -- Distinguishing Reg D and Title III -- Reg D Offering Platform Categories -- Profile: MicroVentures -- Done Deals -- Deal Flow -- Closing the Deal -- Profile: CircleUp -- Done Deals -- Deal Flow -- Closing the Deal -- Suspense Builds around Title III -- Chapter 3 Equity Crowdfunding -- Paving New Roads to Capital Markets -- A Deeper Dive into Title III -- Title III Provisions for Issuers -- Title III Provisions for Investors -- Title III Provisions for Intermediaries -- Broker-Dealers and Due Diligence -- Experts and Pundits Analyze Title III -- Supply-Side Pessimists -- Demand-Side Pessimists -- The Cautious Outlook -- Chapter 4 Intrastate Equity Crowdfunding -- The Intrastate Exemption -- The Surge of Intrastate Exemptions -- Can Funding Portals Receive Compensation? -- The Bohemian Guitar Success Story -- Deal Trickle, Not Flow -- More Intrastate Crowdfunding Exemptions -- Chapter 5 Deal Flow -- Stages of Business Development -- Growth Potential -- Historical Angel Deal Flow -- Chapter 6 Angel Investors -- Angel Investors before Crowdfunding -- Traditional Angel Investors -- Financial and Social Motivation -- Running the Numbers.

Where's the ROI? -- Angel Groups and Angel Crowds -- Wisdom and Madness of Crowds -- New Angel Investors -- Two Keys to Angel Investing Success -- Chapter 7 Equity Crowdfunding Portals -- Suitability and Due Diligence -- Revenue for Platforms -- Purebred and Hybrid Platforms -- The Equity Crowdfunding Ecosystem -- Generalists, Specialists, and Aggregators -- Orientation to Equity Crowdfunding Sites -- Terms and Conditions of Use -- The Investor Dashboard -- Application for Issuers -- Chapter 8 How to Invest, Part I: Portfolio Strategy -- Private Securities Risk and Reward -- Risk and Diversification -- Alternative Assets -- Asset Allocation -- Dry Powder -- Before You Pull the Trigger -- Return on Investment -- Liquidity -- Employment -- Exits -- Chapter 9 How to Invest, Part II: Identify Suitable Offerings -- Narrow Down Your Selection of Offerings -- Social and Personal Motivations -- Financial Motivations -- Selecting Equity Crowdfunding Sites -- Get Good Advice from Informed Advisers -- Tying It All Together -- Chapter 10 Equity Crowdfunding Securities -- Straight Equity: Stock and LLC Units -- Common and Preferred Stock -- Drawbacks of Corporations -- Limited Liability Companies -- LLC Drawbacks -- Stock or LLC Units: Which Is Better for Investors? -- Convertible Debt, the Hybrid Security -- Chapter 11 Deal Terms -- Negotiations and Standards -- Do All Those Terms Really Matter? -- Deal Terms for Straight-Equity Offerings -- Economic Terms -- Control Terms -- Terms Relating to Liquidity Events and Future Financing -- Other Terms -- Evaluating Deal Terms -- The Joys of Due Diligence -- Chapter 12 How to Invest, Part III: Due Diligence -- DIY, Outsource, or Collaborate -- The Crowd -- Three Buckets: Legal, Financial, Business -- Legal Due Diligence -- Corporate Information -- Operational Information -- Potential Liabilities.

Intellectual Property -- Financial Due Diligence -- Financials Required for Equity Crowdfunding -- Business Due Diligence -- Founders and Management Team -- Individual Characteristics -- Group Dynamics -- Business Operations -- Business Plans -- Market Analysis and Competitive Advantages -- Forecasts and Projections -- Exit Strategy -- Chapter 13 How to Invest, Part IV: Funding and Postfunding -- Your Rights as a Shareholder -- Management Participation -- Manage Your Equity Crowdfunding Portfolio -- Return on Investment -- Your Investor Network -- Chapter 14 Liquidity and Secondary Markets -- Restrictions on Transfers -- Why Sell? Who Will Buy? -- Secondary Markets in the Digital World -- Title III Secondary Markets -- Conclusion -- Epilogue: Trends and Innovations -- Equity Crowdfunding Resources -- About the Companion Website -- Index -- EULA.

Description based on publisher supplied metadata and other sources.

Electronic reproduction. Ann Arbor, Michigan : ProQuest Ebook Central, 2024. Available via World Wide Web. Access may be limited to ProQuest Ebook Central affiliated libraries.