A New World of OpportunityFundsition
Globally, Equity Crowdfunding has achieved huge participation over the last 5 years and has seamlessly transitioned from what was perceived as an alternative path to capital raising and investing, to becoming a mainstream one. The UK and the US have experienced great success and it’s predicted that Equity Crowdfunding models may surpass venture capital models by 2020.
Australian businesses make up 97% of the market and its commonly known to be the engine room of our economy. Until recently, it has been difficult for the average small to medium enterprise (SME) to grow their business due to accessing capital.
However, that has all changed with the Australian Government introducing an exciting piece of legislation that allows SMEs to access a new class of funding via retail investors. This ultimately supports a business in growing to its full potential, while delivering a return for the investors.
This new legislation is called Crowd-Sourced Funding (CSF) or commonly known as Equity Crowdfunding and it’s now available to the Australian market through FUNDSITION, whom is an Australian Financial Services Licence holder AFSL #512643.
It’s SME Equity Funding, but for retail investors
- For an investor, it provides an unprecedented opportunity to invest in businesses that they understand, connect with and believe in
- What was once reserved for the wealthy has now opened up to all and we have a level investing playing field. For example, it allows you to invest in companies prior to an IPO, merged or sold.
- It gives people an opportunity to invest in companies that are the potential growth stories of the future
- Spreading the risks – equity crowdfunding investors come from a larger pool of people investing at lower levels, thus, lowering the overall risk and exposure for the investor
- You can invest as low as $500, which is great because you are not putting yourself at high risk
Watch the video to learn more….
EQUITY CROWDFUNDING SNAPSHOT
The introduction of CSF allows Australian SMEs with revenue and net tangible assets under $25 million, to raise up to $5 Million of capital per annum from retail investors via an intermediary platform:
- Retail investors can invest up to $10K per Offer Company (Issuer) per annum
- No restrictions on the number of investments
- The intermediary platform must have an Australian Financial Services Licence
- Investors hold ordinary shares in the company
- No restrictions for sophisticated investors
- Foreign investment allowed
- Investors can invest from just $500
- Offers can be advertised
WHO DO WE FUND?
We look to fund businesses with proven track records that have a defined growth strategy to present to potential investors. We are industry agnostic and can fund any PTY LTD company in Australia.