We all know what crowd funding is. A family’s home burns down and they turn to the internet seeking donations to rebuild. You cannot afford your wedding or vacation, same thing. Recently though, things are changing and people are now using crowdfunding to get businesses off the ground and up and running. That is a whole different animal. If you are taking in donations from crowdfunding, it will be in y our best interests to consult with a professional crowdfunding transfer agent that you can trust to ensure that everything is done accurately.
Services That a Transfer Agent Can Provide
Electronic stock certificates allow your stockholders to conduct their business online. The transfer agent may also be there to provide live support at all hours of the day and night for your investors, giving them peace of mind. Not only will it bring peace of mind to your investors, it will do the same for you. The agent may also be able to meet all of your filing needs, saving you time and money.
What Can Crowdfunding Do?
Crowdfunding can raise almost 50% more than the usual funding avenues for start-ups. There are regulations in place to protect investors, but it is a great way to raise money if you have the need to do so. You do not have to go looking for investors, because with this method they come looking for you.
Why Wouldn’t You Follow Your Dream Too?
Obviously General Motors is not going to be starting a crowdfunding campaign, but why not you? Yes you, the one with the dream of opening a used bookstore in that little corner store downtown or whatever other business you have in mind. If you start off right, work with an agent, and take your time, you just might be a huge success. One day, that little store could be in three or four towns.
Transfer Agents Are an Important Part of the Process
How will you determine what percentage of your business are you giving to each investor and for what dollar amounts? How will a potential investor know that they are receiving a true and accurate picture of your business model? These are two of the areas where the use of a transfer agent is paramount. Another area in which having an agent is advantageous is the sheer number of forms which need to be filed.
