Topics Under Tag: "Revenue sharing"

Mainvest

Crowdfunding Portal Mainvest is on a Hyperlocal Mission in Massachusetts

Locavesting Staff | April 27, 2019

More than $2.7 billion in venture capital flowed into Massachusetts in the first quarter, according to the latest PriceWaterhouseCoopers survey. Yet pretty much none of that went to the kind of local businesses that anchor neighborhoods—the restaurants, cafes, yoga studios and breweries. Fortunately, those mom & pops have another option, thanks to Mainvest, an investment […]

revenue models

Venture Capitalists Wear No Clothes (and Why Revenue Models Beat 10x Exits)

Luni Libes | November 6, 2018

From his perch as founder of Fledge, a network of social impact accelerators, Luni Libes has claimed the role of industry provocateur, critiquing the prevailing Silicon Valley model of investment and agitating for more aligned funding models. In particular, he’s an advocate for revenue-based funding, whether via loans or redeemable equity, where startups buy back […]

Debt-based Crowdfunding Is Quietly Generating Investor Returns

Locavesting Staff | May 30, 2018

Crowdfunding success is often measured by the number of campaigns meeting their funding targets and the dollars raised. But what about the investor side of the equation? It’s still very early, and there are no industry-wide performance metrics that measure investor returns. But there are inklings. Some investment crowdfunding portals have lately taken to reporting […]

New Crowdfunding Portal Startwise to Focus on Revenue Sharing

Amy Cortese | August 27, 2017

Grace Leung Shing and Catherine Yushina were working for a venture capital fund in Silicon Valley, when they were both struck by a puzzle: why was it that venture investors were willing to shower funding on startups with no revenues or traction—sometimes little more than idea—while many perfectly solid businesses couldn’t get funding at all? […]

Before You Invest: The Basics of Financial Due Diligence

Huiwen Leo | August 8, 2016

Interested in investing in a company that is raising funds under Regulation Crowdfunding (Reg CF), Regulation A or Regulation D? That means doing your homework— understanding what you are investing in and making an “informed investment decision.  In other words, due diligence. In this article, we’ll explore the basics of financial due diligence, which includes […]

For Crowdfunders, Revenue Sharing Can Have Benefits Over Equity

Ryan Flynn | July 20, 2016

Localstake is a sponsor of Locavesting When raising money through crowdfunding, one of the most important decisions entrepreneurs need to make is how to structure the offering. The appropriate structure will depend on a lot of factors, including the business’ stage of development, its performance to date, growth plans and the targeted capital source. But […]

Exit Strategies for DPOs and Crowdfunded Offerings

Brian Beckon | July 1, 2016

In the traditional world of finance, big companies raise capital via an IPO (initial public offering) and their shares are then traded on a stock exchange like the New York Stock Exchange or NASDAQ. But that process can be very expensive, so smaller companies traditionally raise capital in private placements, and their shares are not […]