Wolf3D founder Timmu Tõke on crowdfunding on SeedInvest & using investors & marketers to amplify msg

TL;DR

The founders chose equity crowdfunding to amplify their message and engage both accredited and non-accredited investors. They found the process straightforward, with a lengthy due diligence period. The majority of investments came from accredited investors, but smaller investments were still significant.

Transcript

so why we decided to go with that crowdfunding was that we're not from here and we wanted to kind of create a crowd of people that are really interested in our our success and and I'm kind of amplifier message ah and I know usually investors as marketers as well to tell people about what you're doing they become ambassadors because their shareholde... Read More

Key Insights

• 💍 Equity crowdfunding can help startups engage a crowd of stakeholders invested in their success.
• 👻 CDMS is a crowdfunding platform that allows both accredited and non-accredited investments.
• ❓ The due diligence process in equity crowdfunding can be lengthy, involving comprehensive evaluations.
• 🖐️ Accredited investors contribute a majority of investments, but non-accredited investors still play a significant role.
• 🏛️ Maintaining communication with investors, regardless of investment size, is important for building a community around the company.
• 💨 Weekly updates and a Vlog are effective ways to engage and inform investors, creating transparency and building trust.
• 🤱 The Walker Corporate Law Group specializes in legal services for startups, focusing on efficiency and fixed fees.

Questions & Answers

Q: Why did the founders choose equity crowdfunding?

The founders wanted to create a crowd of people interested in their success and amplify their message. They believed equity crowdfunding would attract investors who would become ambassadors for their company.

Q: Why did the founders choose CDMS as the crowdfunding platform?

The founders selected CDMS due to its ability to allow side-by-side investments and engage both accredited and non-accredited investors. CDMS was considered the best platform for their needs.

Q: How long did the due diligence process take?

The due diligence process lasted approximately one and a half months and involved detailed assessments of the business, legal, and market aspects. It was an extensive and thorough evaluation.

Q: What percentage of investments came from accredited investors?

Around 70% of investments came from accredited investors, indicating significant support from institutional or high net worth individuals. The remaining 30% came from non-accredited investors.

Summary & Key Takeaways

• The founders decided on equity crowdfunding to create a crowd of interested stakeholders and amplify their message.

• They chose CDMS as the platform for crowdfunding and found the process straightforward, with a 1.5-month due diligence period.

• Around 70% of investments came from accredited investors, but the remaining 30% from non-accredited investors were still significant.