Silicon Prairie is Testing the Waters Forum / All Topics
| TOPIC | LAST POST | ACTIONS | ||
| Our Initial Funding Strategy | None |
| ORIGINAL AUTHOR | TOPIC | ACTIONS |
| TheLittleDuke2023-01-2813:42:06 | Our Initial Funding Strategy Our initial funding strategy is a bit of a "Stalking Horse" approach to angel investor groups where we are specifically looking for 50-100 groups and or individual angel investors to come in at $50-100K per group with an ask of $5K of individual investors to fill as much of our $5M round. This is in keeping with our core "crowdfunding" tenets and should reduce the total due diligence burden rate with each group since we are not asking for a large commitment from any one particular group. Our research shows that EVERY angel investor is sitting on VERY illiquid assets and many recognize especially with advancing age that they will have to account for them in their estate planning making it their heirs problem. We also know that companies are staying private longer, often passing up could M&A opportunities and sometimes the original thesis is far from what the early investors thought they were buying into. We believe that this will start a "flywheel" for us, in that groups are likely going to refer companies who want to provide liquidity for their investors BUT ALSO we're starting to encourage clients to "earmark" a percent of a new round to provide some liquidity in their secondary markets, therefore we believe our Secondary Market is going to attract a high number of quality issuers for our investment banking and crowdfunding services. Our goal is to fill as much of our $5M raise from this investor class first, and then open it up to everyone in a REG-CF offering possibly as soon as May or June to bring in the crowd. David V Duccini “Where Good Ideas Grow” |