Guidelines for Issuers

On Seedfund's Crowdfunding portal we aim to have all Issuers provide investors with consistent information. You can download our Guide to investors information and disclosures and you can speak to one of professionals to help you prepare your campaign.

There are three areas of investor disclosure that we care the most about, that we will review your investor documents to assure you have disclosures covering each:

  1. Governance Approach - Investors are entrusting their money into your company’s growth plans. One of the anchors of this trust is that companies have some oversight on how money is spent and on the strategy of the company unfolds.

    This oversight is typically administered by a Board of Directors. Most often the founders of a company are on the Board. To fund raise on our portal, you need to consider having a director that is independent of the founders. You should choose someone with wisdom in years and experience; someone the crowd will respect.

    If you have built previous companies and successful sold at least one and prefer a lean Board, we are willing to let the crowd decide whther you should be trusted. If this is your first time, you need some oversight.

    Longer term or for more mature companies, you should consider a governance structure where you have more independent directors than directors that are also part of management. This is a vastly superior governance model than just the founders.

    Board members are valuable resources and should be recruited and coveted like customers. You should absolutely consider diversity as strategy for assembling a Board; consider the different people from different backgrounds bring different perspective. Nothing can be more valuable.

    Regardless of choice, the governance model needs to be detailed in every investment briefing document. Specifically, who is on the Board, what committees exist and who chairs each committee.

  2. Share Offering Structure - Our portal is not going to enforce one specific sahe offering structure. Each Issuer should consult their legal team on the capital structure strategy. We do publish in our Issuer guide some issues to consider and some approaches that seem to working across the industry.

    What we will expect is that the chosen structure be disclosed in each investor document.

  3. Captable and Offering value

Powered by