I did a lot of research and shared first hand experiences in putting together these articles for you and came across some great information out there. With all of the sites on the internet offering help, I thought I’d share my short list of equity crowdfunding sites that are known to be pretty solid.
The following are good fundraising sites for entertainment projects (again, these are for equity crowdfunding sites…NOT donation-based crowdfunding sites like kickstarter, indiegogo or rockethub).
This site is an excellent platform for filmmakers to promote their films to accredited investors. Slated gives investors access to qualified filmmakers, and filmmakers get to showcase their projects to a pool of qualified investors.
The site facilitates targeted introductions and helps members explore possible synergy. Both investors and projects are vetted so all members are credible. Members also include vetted industry advisors (I’m a member of this one).
To list your film project on Slated you need to have:
- The title and estimated year of release for your film
- A logline
- An image to represent your film
- At least one genre and one “topic” keyword. This will be used to match your film to investors and other Slated members who are interested in similar topics and genres
- The stage your project is in (development, pre-production, production, post-production, etc)
For more information visit www.slated.com
This site focuses on attracting “smart money” investors, or those professional independent film financiers with the connections and skills to succeed. Accredited investors can invest in the same films that have won the investment dollars of professional financiers. This site is mainly for high caliber (studio quality) films.
For example, one of the first projects on the site is a film with Tom Hanks as the lead. Membership is only for “Accredited Investors”, as defined by the SEC.
For more information visit www.jct.com
3. Angel List
All of these sites essentially play matchmaker, but this site has a feature called “Syndicates,” which allows any accredited angel investor to back companies that have been discovered, vetted and funded by another trusted investor called a Syndicate.
The Syndicate investor is someone with a record of picking winners so this may reduce the investment risk for the backer investor. Angellist has many different types of startups, including films.
For more information visit www.angellist.com.
This site has a one of the largest networks of investors, but it is focused on many fields. It connects accredited investors to leading startups seeking funding. It has a category called “Film & Entertainment”, which currently has a ratio of about 12 potential investors to every project so it may be worth a shot.
In addition to its platform, this site provides a wealth of knowledge on fundraising topics.
For more information visit www.crowdfunder.com
5. Early Shares
This site also has the dual focus of providing investor education and a portal to facilitate equity crowdfunding. It has a section called “University” that gives valuable information. Investors must be “Accredited Investors”.
Businesses (and there are many film projects on the site) must meet the following criteria to become members:
- An experienced management team
- A unique value proposition
- Realistic financial projections and models
- Proprietary technology or other intellectual property
- A sizeable market for its product or service
- A clearly defined projected return for investors and/or exit strategy
- Evidence of traction (i.e., progress or momentum in the business)
- Pre- or post-revenue or cash positive status
- Existing contracts and partners
- Intellectual property or a working prototype
- An existing customer/user base or social media network
For more information visit www.earlyshares.com
These are other sites that hosts investment offerings for companies selling their securities to accredited investors. They all consist of platforms, built around a unique online marketplace that allows accredited investors to become equity holders in pre-screened, private companies and projects.
As a bonus, here are some great resources that you may want to use for your equity-based crowdfunding campaign:
CrowdCheck allows investors to vet projects, and allows the projects to vet investors.
It performs basic “due diligence” on companies for investors and provides a concise summary report. This will help the investor make an informed decision. The report can also be a strong advocate for the company if all looks good!
CrowdCheck also walks companies through the complicated disclosure process to ensure that all legal requirements are met.
For more information visit www.crowdcheck.com
Now Street Wire
NowStreet Wire connects projects with investors and provides helpful investment information. This site is owned bywww.crowdnetic.com.
For more information visit www.nowstreetwire.com
Gillen Group, LLC
This is a great resource for filmmakers! It provides valuable business services for your project, including consultations on fundraising.
For more information visit www.gillengroupllc.com
All of the sites referenced above have their advantages and disadvantages so I encourage you to do your own assessment before you choose a portal, information source or consultant. There are literally hundreds of crowdfunding sites out there! This is just my short list.
If you have insight or experience with other portals or sites, leave me a comment. I love to stay current.
Do you find this information overwhelming and want to start with an overview. Check out the following: