How to make investmets. How to aply crowd funding

Crowd Funding FAQ - PocketVenture

How does PocketVenture works?

PocketVenture is an online crowd funding platform which allows entrepreneurs to publicise(pitch page) their business opportunities in order to get funding from investors. To start this process, the entrepreneur writes an online pitch explaining their business plan and giving details about, for example, the business opportunity, the management team and how the money raised will be spent. A pitch will also explain the challenges and risks faced. Companies can open their pitch and there are no costs to do this part. All pitches are Live imediately when user chooses LIVE state from my pocket.

Presales based crowd funfing project (you see BUY button)

When you want to backup company that is looking for presales based crowd funding you are buying their products or services. PocketVenture does not guarantee projects or investigate a creator's ability to complete their project. It is the responsibility of the project creator to complete their project as promised, and the claims of this project are theirs alone. All prices shown are excluding taxes. Before confirmation you will see total price including all possible delivery costs, fees and taxes.

When my product or service is delivered?

Please read carefully companies conditions we always recommend them to give honest schedule because you are their key customers and they really need to understand that they want to keep their promise to you. If there are any questions about deliveries please contact straight to companies resp. person.

 


Equity based crowd funding project (you see INVEST button)

contains some key financial parameters:

  • Target – the total amount of money that the entrepreneur wishes to raise and that will be invested into the company and its business opportunity
  • Minimum sum to close the round – the minimum amount of money that needs to be raised. 
  • Company's valuation – Value of the company before money is raised. See also "Crowd Valuation"
  • # of shares - the number of shares offered for public sale
  • Share Type - Type of the shares that crowd may buy
  • Price per share - Price per share or price for group of shares

Before launching equity based crowd funding project PocketVenture contacts entrepreneurs. It is important to uderstand crowd funding dynamics and also entrepreneur need to be active. Yes Yes we will help and kick your ass.

PocketVenture does not do valuate companies or give any kind of recommendations to the investors.

PocketVenture share’s their new rounds at the social media and their newsletter. PV uses only basic information that company has told at their pitch. And it is always investors’ responsibility to review company’s data carefully. See RISKS

PocketVenture has a very effective social media sharing and analytical tools and based on analytics most active companies are presented first at our page. Contact us and we will help you to make a successful crowd funding round with our PARTNERS.Once the crowd funding project has been activated by PocketVenture, it will go live on PocketVenture. 

Equity based crowd funding project remain open to Investment on PocketVenture.com for a selected period (starting from 14 days). During this time, equity received from investors will be held in a secure Customer Deposit Account. (If the minimum amount required is not raised, then the investor equity so far received and held in the secure Customer Deposit Account will be returned to them).

The minimum investment by an individual in a company is €50. We may discuss about this if you can contact a HUGE+ crowd by your self.

Is there a maximum or minimum amount that can be raised by an entrepreneur on PocketVenture?

The minimum amount that can be raised to fund a business opportunity is €6,000  and the maximum amount is €1,500,000 during open round.

How long is a pitch open for investment?

We hope that you will find PocketVenture platform usefull for you when your companies grow so we don't give any limitations. (there are some limitations how much data you may update at the free version). So update you pitch frequently and communicate with the crowd. Crowd is here to support you.

What happens if the entrepreneur raises the funds needed?

When opening equity based crowd funding project, an entrepreneur will specify a range of investment funding that they are seeking - a minimum investment amount and a target amount. Once the minimum amount has been raised within the selected time period, PocketVenture gives all essential information about new shareholders to the entrepreneur and then transfers the money raised from the secure Customer Deposit Account to the target company’s account where it will be invested in activities described in the pitch.

At the same time each new investor is added to the Company’s shareholder list and sent confirmation of their equity ownership in the company.

What happens if the minimum investment amount is not raised?

If the minimum investment is not achieved within the selected time period, the equity based crowd funding project will be closed and all equity received during that period will be returned from the secure Customer Deposit Account to the investors' respective bank accounts. Please note that PocketVenture keeps the fee, which is paid by the investor while making the initial investment - this is how we can secure our business in any sitaution. 


Questions about investing through PocketVenture

Who can invest?

PocketVenture's crowd funding platform is open to anyone globally, who is over the age of 18 years.

I don’t live in a Nordic Country. Can I still invest?

Yes, Anybody can invest from around the world. However, investors outside of Europe should consult their professional advisers or tax authorities to ensure that any investment is compliant under their local jurisdiction before they invest in any pitches on this website. And after that check the box "I am person who is described in professional investor in my home country".  See our investor terms and conditions for more information.

How can I register as a potential investor?

Just JOIN and give sum that I'm interested to invest in (min-max) and we will offer you suitable targets. If you interested in to invest more than 10.000€ just contact us and we are more than happy to serve you personally.

How do I invest?

Once you have found an target in which you would like to invest and there is on going equity based crowd funding project (you will see INVEST NOW button) just tab the button and fallow instructions.

You will be asked to complete a few more details about the payment and then to enter the payment process of your selection.

Secure Customer Deposit Account holds investor money before it is transferred to the business you want to invest in. The money will only be transferred if the pitch receives the minimum amount needed by the entrepreneur. Otherwise the equity will be returned to you.

If you choose the payment option with invoice, please ensure that you enter your username or name to your bank’s message box as well as the reference number given. These details will help the administration to reconcile your payment to your account. 

Once your investment has been confirmed, the investment will be added to your pocket.

How do I know that the entrepreneur has a genuine business idea?

PocketVenture is an crowdfunding platform provider and, it is up to the investor to assess the opportunity and make a decision. Investors should use their own judgment, knowledge and research. When you are doing this process please share your feedback openly at the companies pitch page. This is how crowd also can help each other to do due dilligence process for the company.

Am I able to ask the entrepreneur questions about their business and pitch?

You can always see entrepreneurs contacts at the pitch or use Linkedin integration. We hope that you will use Q&A function at the companies pitch page so that others can see these questions simultaneously.

Is there maximum investment amount that can be invested in a pitch?

There is no maximum amount that can be invested by an individual investor in a pitch. However, investors outside of Europe should consult their professional advisers or tax authorities to ensure that any investment is compliant under their local jurisdiction before they invest in any pitches on this website. In some cases companies' may want to atract a huge crowd of backers and then there might be limititations.

What charges will apply and when?

At the equity based crowd funding project investors are paying our management fee that is 5%+tax. (Please contact if you are investing amounts over 10.000€ we will give you an offer). Please note that when paying invoices outside of the SEPA area you need to take care about possible banks fees. When paying your invoice choose "you will pay all costs of the international transactions" at your banks service. 

Is my investment amount seen publicly?

Publicly we are only sharing your username that you may choose as you wish.

What information does the entrepreneur receive once I have made an investment?

When you decide to make an investment, the entrepreneur will receive the information necessary to deal with you as an Investor - your name, social security number or company number(when needed), e-mail address, telephone number, address and the amount you have invested. The entrepreneur may choose to accept or decline your investment according companies home countries laws.

Will I be notified when an investment round is successfully completed and an entrepreneur has raised the money they are looking for?

Yes, when an investment round is successful, all Investors will receive an email to that effect. If you have chosen to invest in this opportunity, then your money will be transferred to the startup’s bank account once we have carried out the final administration.

If the entrepreneur does not raise the minimum amount required, what happens to those who have already chosen to invest? Are they charged anything?

If a pitch does not raise the minimum amount, all the investor equity so far raised through PocketVenture is returned to the investors’ bank accounts.

Can I withdraw/cancel my investment?

It is not possible to cancel an investment once it has been made. If you think there is some legal reasons etc. please contact PocketVenture.


Questions regarding entrepreneurs and pitches

How do I get investment into my company?

Just JOIN and OPEN your company's pitch page. It's FREE and you will see it online imediately as you wish. After that you may open your equity based crowd funding project or pre sales campaign. read more

Who can open a pitch to PocketVenture?

Any one. 

Who can open a equity based crowd funding project to PocketVenture?

Currently we are opening all "businesslike" equity based crowd funding projects only for companies that are registered in Australia, Finland, or Sweden. Please ask if your company is registered in else where. Currently we are looking for pilot customers from, US, UK, Germany, Korea and Japan.

How long is an investment round?

An investment round is the period during which a pitch is live and open to new investors. The entrepreneur can choose the length of the round, but it is at least 14 days. PV also recommends entrepreneurs to take care of holiday seasons etc- when planning their round. If the target amount is reached before the selected time period, the entrepreneur is able to close the investment round early if they wish.

If a equity based crowd funding projects is successfully funded, how do entrepreneurs receive their money?

Once an investment round is successful and the final paperwork is completed, the money raised from investors will be transferred from the secure Customer Deposit Account to the bank account of the entrepreneurs' company.

What are the costs of doing equity based crowd funding project on the PocketVenture?

We don't have any fees for companies. Investors are paying our fees upfront (5%+tax and we will even give discounts for bigger investors and lead investors). But this doesn't mean that you can be passive. Also you need to be active to run an succesful campaign. We will help just contact us!

What are the costs of doing pre sales funding project on the PocketVenture?

For fixed fees out of the transactions you may have your own pre sales campaign. Our fee is 10%+0,35c and you decide will you include that to the prices or do you want that your backers will see that added on top of your prices.

What information and documentation is needed to successfully apply equity based crowd funding?

You need to create a solid pitch page for your company to the PocketVenture platform. Remember that investors are going through a lot of targets so you need to focus here. Your pitch page is NOT your business plan. It needs to be atractive so that investors will after that use more time to review your company. Use dataroom for relative documentation such as company's decission to launch equity based crowd funding project and business plan where is at least described where investors moneys are used.

Can I create more than one campaign for my company simultaneously?

Yes, we believe that it is great way to atract investors by showing that you can do pre sales!

Is there any type of business that cannot be pitched?

All legal businesses can be listed on PokcetVenture. See terms and conditions

Can pitches be edited after launch?

Yes you should update your pitch all the time! There are some fields that will be locked after company opens equity based crowd funding project or pre-sales project.

Can pitches raise more money than the Target amount?

Yes. If investors are very interested in your idea, you may be able to attract more money than your target amount. At this stage the valuation of the Target Company remains unchanged (i.e. the value of each share is as explained in the pitch). Going forward, the entrepreneur may choose whether he or she is willing to accept more money in exchange for giving out larger ownership of the company.

Can entrepreneurs change the minimum and the target amounts that they wish to raise?

No, once the pitch is published, the minimum and the target amounts cannot be changed.

Is there a maximum amount that an individual investor can invest in a pitch?

There is no maximum amount that can be invested by an individual investor in a pitch.

Does an entrepreneur have to accept all the investors as shareholders in their company?

When financing round has been successful, the entrepreneur is able to accept or decline the investment from an investor (i.e. they may decline an investment if it comes from someone working in a competitor company, for example).

Can entrepreneurs change the equity offered?

If more than the Target amount is raised, the percentage of equity offered will automatically increase. Otherwise this number cannot be changed.

Can an entrepreneur close a pitch early?

The entrepreneur can end a pitch early, if the target investment amount is reached. Otherwise it is not possible to end the pitch early.

Can I invest in my own pitch?

Yes, we strongly encourage you to do so. Evidence shows, that investments at the beginning of the campaign attracts additional investments from the other investors. You can also invest further amounts into your pitch during the selected time period. If you already have some investors before your equity based crowd funding project launch please contact us and we add them to the campaign without costs.

If I find investment from another source, do you charge anything?

No, but we suggest that all investments during the PocketVenture offering period will be channeled through PocketVenture platform. It is your responsibility to administrate all other investments. 

Is there an PocketVenture widget that allows you to promote pitches on the websites?

Yes, for every published pitch or project there is a widget that you can place on your site or blog showing the pitch details and progress in real time. Just contact us.

Questions about PocketVenture.com

Is PocketVenture on Twitter, Youtube, Facebook and LinkedIn?

Yes and you can see us at:

www.twitter.com/pocketventure

www.youtube.com/pocketVenture

www.facebook.com/pocketventure

www.linkedin.com/company/pocketventure