In my research, the best entry way is to do a Reg CF and then progress to Reg A+. Other ways include Reg D. There are tons of options, but here is a link to Reg CF. I hope it helps. https://www.dalmorefg.com/directcf Finally some books I recommend include The Crowdfunding Myth and Equity Crowdfunding by Nathan Rose.

^[redacted]‌ - Crowdfunding is a little outside the scope of Searchfunder. Can you please provide more information about what you are trying to crowdsource?

We are in the final stages of creating a fund (should be launched later in April) and developed a web application to manage the funding process and moving of capital. Our fund is a note fund as it directly relates to the Real Estate Investor loans we have been originating for years.

This advice is from my perspective as having recently gone through this process. Always have a Securities lawyer confirm before going down any of these paths. It would be really helpful if you can provide some more insight into what you are raising money for as ^[redacted]‌ mentioned.

Step 1. Determine if you want to raise money from accredited investors or open to anyone. We chose to go with accredited investors only at this point in time. Because of that we chose REG D. Reg CF and Reg A can raise money from both.

Step 2. Determine how much you need to raise. These numbers may be a little dated as there have been recent changes. Reg CF has a low per year number...I think it was just brought to $5 million from $1 million recently. Reg A Tier 1 and Tier 2 allow you to raise $20 and $50 million respectively per annum. And Reg D has no limit to my knowledge.

Step 3. Time and Money. Reg A is by far the most expensive, regulated and takes the most time. From what I understand Reg CF is the simplest and fastest to get started, but I didn't explore in detail as the per year number was way too low for my application.

Hope that helps get you started.

I ran a successful crowdfunding campaign for a consumer product a few years ago. It's all about 'priming the pump' and having people ready to buy before it goes live. Emails of friends and supporters were much more effective than social media just FYI. My best advice is follow this detailed post from Tim Ferris' website: https://tim.blog[redacted]hacking-kickstarter-how-to-raise[redacted]in-10-days-includes-successful-templates-e-mails-etc/

Hi ^[redacted]‌. First, good luck!

Besides doing the legal work on buying and selling companies, i am also a securities lawyer. Happy to discuss with anyone the various options for fund raising. Almost all fundraising for Searchfunders is done under Reg D, Rule 506 (whether you know it or not). Crowdfunding is broadly defined but usually means Reg CF. Regulation A is a lot more involved and likely not what someone starting out wants to do. It can get pretty complicated so feel free to contact me to set up a discussion.

Yes. And not for good. Here’s a good article on it.

https://www.jdsupra.com/legalnews/why-private-capital-and-crowdfunding[redacted]/

I think there is confusion here on whether it is crowd funding via a product launch or a crowd funded equity raise. The same term is use for both and both generate funding, but the mechanism is very different. One difference is that crowdfunded product is best (exclusively?) for B2C and crowdfunded equity raise works better for B2B businesses (at last according to https://wefunder.com/ .)