Small businesses, entrepreneurs, medium-sized businesses and commercial real estate developers all want to know: where do I go to find equity financing for my business or project on terms I can live with? Historically, equity financing has been a pretty tough slog. Private equity and angel investment dollars make up less than 2% of project financings (SBA). The overall probability of success in obtaining any capital financing was about 1 in 5.55 (worse than scratch-off lottery tickets, but nobody uses the lottery as their chief means of raising equity financing).
The November 2020 SEC rule change provides the opportunity to create essentially similar probabilities of success for these companies and developers seeking capital financing as those that attend companies doing a public offering (est. 1 in 1.47 vs. 1 in 1.35 odds, respectively). The new crowdfunding rules provide multiple pathways to create a systemic approach to capital financing that offers potential surety of outcome combined with the opportunity for incredible financial investment leverage.
Overview of Accelerator Program Key Points
With these thoughts in mind, may the odds be ever in your favor…