What should Should Shareholders, Company Directors and Managers know about Crowd Sourced Funding Equity Raising
Empowering SMEs (Issue 043)
- What is in it for a company?
- Ability to raise up to $5 million in a 12 month period direct from the public
- This is not a loan therefore:
- No loan application required
- No security required
- No personal guarantees required
- No monthly repayments of principal and interest required
- The company issues ordinary shares to the investors
- What do you want to achieve for your company?
- “Scale up”? – You will probably require cash to fund the process
- Expand the business?
- Acquire another business?
- Implement your “big audacious idea”?
- Overcome succession problems?
- Repay loans?
- Implement a commercialisation process for a new product, process or service when your company is too old or has too much income or expenditure to qualify as an Early-Stage Innovation Company?
These are some of the reasons why you might be interested in having a close look at the concept of utilising Crowd Sourced Funding Equity Raising to raise capital
- What is the downside?
- The company must have a minimum of two directors
- You could end up with hundreds of additional shareholders – but most of them will only have a very small shareholding
- The company’s Constitution will require some changes
- The current shareholders will not own 100% of the company
- But, this is part of “Wealth Creation”
You need to understand the process if you are going to be involved:
- The selection of an Intermediary that your client is confident that they can work with;
- The company has to prepare a Crowd Sourced Funding Offer Document therefore they will probably need you to assist them in this process – this document requires a significant amount of information to be disclosed.
This is not “Crowdfunding”.
All share applications must be processed via the Intermediary’s website.
The maximum investment for a “Retail Investor” is $10,000 in a 12 month period.
There is a 5 business day cooling off period for “Retail Investors”.
Click here if you wish to learn more about Crowd Sourced Funding Equity Raising or go to our website: www.esssmallbusiness.com.au/crowdsourcedfunding/learnmore. We have discounted our Crowd Sourced Funding Equity Raising Products by 40% for the month of July 2019, please click here to view our special.
If you have any questions, please send an email to peter@essbiztools.com.au or telephone Peter on 1800 232 088.
Peter Towers
Past Posts
-
Final COVID-19 Survival Panel for SMEs
-
JobKeeper Has Reduced - Have You Got Research & Developme...
-
Developing Intellectual Property, Funding It, Perhaps by ...
-
Crowd Sourced Funding Expected To Be In Demand In 2020/21
-
Tradies' Charge Out Rates Review And Corporate Governance
-
JobKeeper Changes And Crowd Sourced Funding Highlights
-
Sound Advice Will Help You Meet The Challenges
-
Taking Opportunities/Upgrading Your Accountant's Role
-
Management Accounting And Government Grants Can Contribut...
-
Marketing and Business Funding for COVID-19 Survival
-
Developing Strategies For An Uncertain Year
-
Predictive Financial Statements and Legal Overview for SMEs
-
Cashflow and Funding a Major Issue for SMEs in the Afterm...
-
Crowd Sourced Funding And The Rejuvenated Business Scene ...
-
Where Can You Get Funding For Your Business And What Can ...
-
Utilising Predictive Accounting to Avoid the Lockdown Blues
-
COVID 19 Survival Assistance for SMEs
-
COVID-19 Survival Assistance for SMEs
-
COVID 19 Survival Assistance for SMEs
-
COVID 19 Survival Assistance for SMEs Number 2
-
COVID 19 Survival Assistance for SMEs
-
COVID 19 Survival for SMEs
-
Getting Ready for 2020 – Running a Better Business With S...
-
Another Source of Equity Capital for SMEs!
-
Having Trouble With Your Business’ Finances?
-
First Year Celebration – Crowd Sourced Funding One Year Old!
-
Sound Talent Recruitment Helps Add Value!
-
Does Your Strategy Create Value?
-
Management Accounts Give You More Information - Why Not A...
-
Do You Feel Like Saying... “Help Me Run A Better Business”
-
OVER 30,000 PEOPLE HAVE ENDORSED CROWD SOURCED FUNDING EQ...
-
What should Should Shareholders, Company Directors and Ma...
-
Crowd Sourced Funding Equity Raising – Accountant’s Role...
-
Crowd Sourced Funding Equity Raising – Scorecard
-
Crowd Sourced Funding Equity Raising - “HOUSE IN ORDER” R...
-
Is Crowd Sourced Funding Equity Raising the Same as Crowd...
-
Early Stage Innovation Company – a “Cousin” Entity to a ...
-
Crowd Sourced Funding Equity Raising - Who Might Be Inter...
-
Crowed Sourced Funding Equity Raising - In The Beginning
-
Experts Endorse Crowd Sourced Funding Equity Raising
-
How To Grow Your SME Without Increasing Your Personal Risk
-
How To Retire With Dignity From Your SME
-
How to say 'Adios' to your Bank Loans & Guarantees
-
Getting Pressured to Repay "Bank of Mum and Dad" Loans?
-
15 Step Checklist for Crowd Sourced Funding Equity Raising
-
Crowd Sourced Funding Can Assist "Scaling Up"
-
A New Concept to Revolutionise SME Businesses!
-
What's Your Next Goal?