Last Friday we presented a very popular seminar on Crowdfunding alongside Stewart Whyte of McClure Naismith solicitors.
In a lively and engaging event that was part of Social Media Week London, we covered off the fundamentals of what crowdfunding actually is, how it has a strong relationship to social technologies and key aspects of the mindset and dynamics of a highly connected society. We also looked at elements you should take into account when considering a crowdfunding campaign and the legal complexities of equity-based crowdfunding and we emphasised the importance of taking good legal advice if you plan to move down that path. You can access the twintangibles slide pack here and the tweetdoc here, including all the lively discussion going on on twitter during the event.
It is sad, then, to hear about the closure of Profounder – a site that was dedicated to trying to guide US based companies through the complexity of securities law in the US (which varies considerably State to State). The platform had originated as a transactional platform but moved into the realms of guidance and compliance mode helping companies to a point where they could consider raising capital within the limited constraints permitted by the legislation at present. Only a couple of weeks ago I had a long conversation with Dana Mauriello, who along with Jessica Jackley of Kiva fame, co-founded Profounder. Dana was still enthusiastic then about the prospects for Profounder and passionate about helping companies grow through access to much needed capital.
The moral of the story is that the legal complexities of equity based funding means you absolutely need good advice, and that the US has some way to go before being as equity crowdfunding-friendly as the UK.
The good news is that Dana and Jessica will be taking their expertise on to GOOD. If you dont know then GOOD describe themselves as “a collaboration of individuals, businesses, and nonprofits pushing the world forward. Since 2006 we’ve been making a magazine, videos, and events for people who give a damn.” That sounds pretty damn good to us!
We at twintangibles wish them both well and look forward to hearing about their next ventures.