due diligence

But What Do You Own?

Investors carve out their shares - but do they own something of value?

That startup you bought shares in: what does it do? More to the point, what claim do you have on revenue and assets, and will they last? How will they stand up against competition? When you're reading a prospectus, you need these things clear before you invest.

Investors and Owners Are On The Same Side

a rowing team with oars on the same side of the boat

Startups need intelligent investors and equity crowdfunding needs to match personalities and skills, as well as capital and appetite for risk.

Nobody wants to surround themselves with stroppy people asking dumb questions. But intelligent questions, and working out the answers to them, are part of what makes a company succeed. If you're a business owner looking for equity investors, consider what you stand to gain from having one or two investors with seats on the board, acting as your advisors, and on your side because they have an equity stake.

Transparency In Equity Crowdfunding

A window with rain on it is hard to see through

Who is responsible for transparency in equity crowdfunding? asks a piece in Thursday's CityAM.

We're shocked. You might as well ask: who is responsible for information?

A variety of people in the business - entrepreneurs, platforms, investors - are responsible for collecting information and publishing it. Everybody is responsible for filtering information and evaluating it. And transparency describes a market in which deals are done between people who all have access to the best quality information.

Do Your Due Diligence, Says Crowd Sector CEO

Photograph of Gary Robins

Equity crowdfunding is doing extremely well in the UK, but that's no excuse to let standards slip, says Gary Robins. The founder and CEO of Growthdeck, which launched in January, is on a mission to raise standards in the sector.

The speed and low cost of crowdfunding platforms are impressive, but what benefit is a cost base without a profitable exit?