How it Works

Office ChairFor Entrepreneurs: How It Works

After registering, the first step in the crowdfunding process is to gather the documents that describe your business, financing goals/needs and the Company’s founders and management. These documents will be the base of your offering documents and campaign materials.

Your offering and marketing materials should be created in conjunction with your legal counsel as there are explicit disclosure requirements for Wisconsin crowdfunding offers. After materials are approved by your counsel and you have met the filing requirements of the Wisconsin Department of Financial Institutions, you will commence your crowdfunding campaign. should be only one part of your crowdfunding campaign. Your campaign should deploy the full social network of you, your partners and your company. All potential investors need to be directed to to purchase your offering until you have met your minimum fundraising goal, all funds that are collected must kept at a qualified financial institution in an escrow account. When your goal is met, the financial institution will transfer the collected funds to your account. The process of raising funds is:

First.   Sign Up and Share Your Business Profile

Sign UpSigning up is the first step on Once you are signed up you can create, a short business profile that introduces your Company to us. Before moving forward, please keep in mind a couple of requirements –

  • Your Company must be organized under the laws of Wisconsin and must be authorized to do business in the State.

  • This offering is an intra-state offering and as such must only be offered to, and sold to, residents of the State of Wisconsin.

  • You are limited to placing $1,000,000 with non-accredited and non-certified investors in a 12 month period ($2,000,000) with audited financials. There is no limit on funds raised from accredited and certified investors.

Once you have created a business profile, we will arrange a follow-on discussion where we can discuss your needs and see if makes sense for you.

Second.  Prepare Your Materials

Create CampaignIf you execute a listing agreement, you will have two major categories of materials to prepare. You will need to create materials that provide a complete picture of the proposed investment and its risks plus you will want to create materials that tell your story and present a reason(s) for investment –

  • Create a disclosure document that describes you, your company and the prospective investment.

  • Create marketing materials that present your story and voice the reason to invest.

  • Marketing materials may include videos, power point presentations or webinars.

  • Ensure all materials and documents meet applicable securities laws and regulations.

Material preparation is a great deal of work but critical. Some investors will invest on impulse. Others investors will want all the materials they can get. You will need to be ready for the information requests of any, and all, investors.

Third.  Start the Raise

Create CampaignOnce you have prepared all of your documents and ensured legal compliance, you will want to kick-off your raise. A listing will be your primary forum for your offering, but you will want to bring the full force of all your, your partners and your Company’s social networks. This will include reaching out to your current investors, customers, vendors and followers.

  • You will need to raise a minimum figure within a defined period; therefore, a raise should have as much forethought as a new product launch.

  • Let potential investors know an offering is coming. Make sure all your materials are ready.

  • Be prepared for questions—set up an investor Q&A on your site and be responsive!

  • Pre-plan prospective investor events—seminars, tastings, tours, meet & greets, etc.

  • Raising money is time-consuming. is designed to make it less so.

Fourth.  The Escrow Release

Create CampaignWhen a prospective investor sends in funds and executed subscription documents, the sale is not yet complete. First, any sale must meet the requirements of Wisconsin law. Second, funds have to be held in escrow by a third party financial institution until a minimum amount is raised.

  • Confirm a prospective investor meets Wisconsin requirements.

  • Ensure all funds are held under escrow.

  • Once the minimum is reached the escrow is broken, the funds are released to the Company and the investor receives their securities.

  • After the offering escrow is released, funds can go directly to the Company until the offering’s termination date is reached.

If the minimum is not met, investors must be offered the option of receiving their full investment back or moving forward with the investment absent the minimum.

Fifth.  Keep Communicating With Your Investor Team

Create CampaignYour investors are your biggest advocates. They are essential in transmitting your message to the marketplace; hence, building your sales. Their investment was only the beginning of your relationship. As equity or debt holders, they should expect continuing updates on the Company and their investment. In fact under the crowdfunding provision, quarterly investor updates are required by law as long as any of the securities are outstanding. Such updates should be viewed not only as a means of providing the dry facts but as a method of reinforcing the excitement that came with their initial investment.

  • Adopt the investor relation service for ease in investor communication.

  • Post-vital investor documents in your site for easy and regulatory compliant distribution.

  • Transmit media stories about your company.

  • Provide updates to investor events.

  • Set up a Q&A forum that allows you to have a continuing dialog with your investors.