MicroVentures offer securities-based crowdfunding, which allows companies to raise capital from a large pool of small investors. The average investment on the platform is $2,500, and the minimum investment is $100. To date, they have raised over $300 million for early- and late-stage opportunities across more than 700 investment opportunities.
The company also provides broker-dealer services for accredited investors, including private placement offerings and secondary market transactions.
They are an experienced broker-dealer and equity crowdfunding platform that raises capital for private companies from our network of accredited and non-accredited investors. They offer investment opportunities through MicroVenture Marketplace via primary and secondary offerings in special purpose vehicles or directly with issuers, as well as opportunities under Regulation Crowdfunding.
By investing in Regulation Crowdfunding, you're getting the best of both worlds. Companies can raise up to $5 million from accredited and non-accredited investors easily and activate an entirely new base of potential investors outside of the platform--including customers who are passionate about your product or service.
Companies that raise money through Regulation Crowdfunding typically have a minimum viable product and customer feedback. Companies that do a506(b) primary offering via Regulation D usually invest in Seed or Series A rounds, but these companies already generate revenue and noticeable top-line and/or user growth. These investments are only offered to our accredited investors and can't be marketed outside of our current base.
MicroVentures offers investment opportunities of one to five million in pre-IPO companies that are typically late-stage. These secondary offerings, 506(b) included, through Regulation D are only available to investors who meet our accredited investor criteria.
History
MicroVentures was founded in 2009 by Bill Clark, a former investment banker.
In 2011, MicroVentures became the first broker-dealer to offer equity-based crowdfunding investments to non-accredited investors. In 2012, the company launched its secondary market platform, which allows investors to buy and sell shares of private companies.
In 2015, MicroVentures raised $9 million in Series A funding from ffVC and other institutional investors.
Investors
MicroVentures investors are primarily based in the United States, but the platform is open to investors from around the world.
Broker-dealer services
MicroVentures is a registered broker-dealer, and as such, is subject to the regulations of the Financial Industry Regulatory Authority (FINRA) and the Securities Investor Protection Corporation (SIPC).
The company provides a number of services for accredited investors, including private placement offerings and secondary market transactions.
Secondary offerings
In addition to primary investment opportunities, MicroVentures also offers a secondary market platform that allows investors to buy and sell shares of private companies. The platform had over 100 companies listed, including Dropbox, Pinterest, and Uber.
If you need help deciding which investment is best for you, MicroVentures investor relations team would be more than happy to assist. However, they are not financial advisors and cannot offer tax advice or recommendations. If you require additional support in making your decision, please contact a financial advisor.
Is MicroVentures right for you?
MicroVentures is a good option for investors who are looking to invest in early-stage companies. The minimum investment is $100, which makes it accessible to a wide range of investors. In addition, the platform offers a secondary market for investors who want to exit their investments early.
However, investing in early-stage companies is risky, and there is no guarantee that you will make money on your investment. Before investing, be sure to do your homework and understand the risks involved.
How does MicroVentures compare?
MicroVentures is one of the leading platforms for equity-based crowdfunding. The company has helped over 700 companies raise capital, and its secondary market platform allows investors to buy and sell shares of private companies.
MicroVentures have a few competitors including Wefunder and Netcapital. The main difference between them is the type of offerings each platform has. For example, if you are interested to invest in an AI startup, Netcapital might be a good fit as they have a few AI opportunities including GenesisAI and ChipBrain. GenesisAI is building a global AI marketplace; they are on a mission to allow everyone in the world to use the power of AI. Investing in GenesisAI might be a good idea as the AI market is expected to grow to $2.8T according to Transparency market research.
Is MicroVentures trustworthy?
MicroVentures is a registered broker-dealer, and as such, is subject to the regulations of the Financial Industry Regulatory Authority (FINRA) and the Securities Investor Protection Corporation (SIPC). In addition, the company is a member of the National Crowdfunding Association (NCFA) and the Austin Technology Council (ATC).
MicroVentures is a good fit for accredited investors who are looking to invest in early-stage companies. The platform offers a number of services, including private placement offerings and secondary market transactions.
MicroVentures offers a variety of investment opportunities, most commonly through Regulation D offerings. These may be for investments in a special purpose vehicle (SPV), which is a fund that invests in the security indicated in the offering summary. Occasionally, an offering will be directly with the issuer. Other types of securities they offer include:
- Preferred and Common Stock
- Convertible Note
- Simple Agreement for Future Equity (SAFE)
- Fund Interests
- Crowd Note Crowd SAFE
If you want to learn about the security available for a Regulation Crowdfunding offering, look at the issuer's Form C on their company filings page. If it's a Regulation D offering or only accredited investors have access to it, then find the offering summary or private placement memorandum on the investment page.
How to sign up?
You can follow this link to sign up for a MicroVentures account. After your account has been created and verified, you will be able to explore all of the current offerings that we have available.
Disclaimer:
This article is not financial advice. We are not financial advisors and cannot offer tax advice or recommendations. If you require additional support in making your decision, please contact a financial advisor.