Raising funds – ACTION!

If your Company/Business is interested in raising capital utilising the ‘Crowd Sourced Funding Equity Raising’ process, it’s essential to appoint an experienced Advisor who can perform the ‘Chief Financial Officer role’ to prepare the company’s documentation and to mentor the Directors and Leadership Team on the Crowd Sourced Funding Process.

The importance of appointing an Advisor who understands the Crowd Sourced Funding Process was highlighted in “Equitise’s 2021 Year in Review”, which indicated that, “we have always focused on providing the highest quality deals to our investor base, turning away over 95% of companies that we see each year.”

This is why the process is important. You would want to be part of the 5% that the Intermediary was happy to work with, wouldn’t you?

The process is as follows:

• The Directors appoint a CSF Intermediary who will work with the Directors, to assist them in the capital raising process and as the ‘Gatekeeper’ decide whether to approve the company to be able to utilise Crowd Sourced Funding Equity Raising.

• The Company has the ability to raise a maximum of $5M from the public in a 12-month period.

• Your Company/Business needs a VISION of its future which would normally involve ‘scaling up. Or your Company may have developed a new product, process or service and needs funding to commercialise this technology, however the company’s age, turnover and expenditure rule out raising capital as an Early-Stage Innovation Company.

• You acknowledge that the team needs to be mentored on the legislation which applies to Crowd Sourced Funding, particularly the role of the Intermediaries.

• The Directors and Leadership Team should meet with your Advisor for the preparation of business plan, budgets, cash flow forecast, projected balance sheets, corporate chart, KPIs/metrics chart.

• Preparation of the ‘Crowd Sourced Funding Offer Document’ containing:
  1. Risk Warning
  2. Information about the Company
  3. Information about the Offer
  4. Investor Rights

Towers Business Development offers ‘Advisory Services’ to assist companies in this process. More information is available at our website, www.towersbusiness.com.au, or you can contact us on 1800 232 088 or email .