
Thank you for purchasing Raise Capital on Your Own Terms: How to Fund Your Business without Selling Your Soul. The information below provides supplemental resources to help you create your fundraising strategy.
Please enjoy! Feel free to email us at customercare@jennykassan.com if you have any questions or comments.
STEP ONE RESOURCES
FINANCIAL PROJECTIONS TEMPLATE
STEP TWO RESOURCES
WORKSHEETS
STEP THREE RESOURCES
LEGAL STRUCTURE AND TAX STATUS
VALUATION CALCULATOR
SAMPLE TERM SHEETS
Note that the following resources will download automatically when you click on them.
CONVERTIBLE NOTE DECISION TOOL
TYPICAL VC TERMS
Go here to see the National Venture Capital Association model term sheet, as well as other legal documents used in venture deals: https://nvca.org/model-legal-documents/
STEP FOUR RESOURCES
SECURITIES OFFERING RESOURCES
In addition to the resources below, there is a free resource you can use to help prepare your regulatory filing for Regulation Crowdfunding at www.FormCHelp.com.
Go here to learn about state-level crowdfunding laws: https://www.nasaa.org/industry-resources/securities-issuers/intrastate-crowdfunding-directory/.
State registered DPO Issues to Be Aware Of
Public Offering Federal Exemption Options
SAMPLE PROSPECTUSES FOR STATE REGISTERED PUBLIC OFFERINGS
RESALE RESTRICTIONS
If an investor purchases securities from your business (i.e. invests in equity or debt in your business), can he or she just turn around and sell that investment to someone else?
The answer to that depends on the regulations under which the securities were initially sold. Securities sold in a private offering are generally considered “restricted securities.” This means that the resale of the security is not allowed unless it complies with state and federal rules governing resales.
Most resales of restricted securities are done pursuant to Rule 144.
Rule 144 is a “safe harbor” under Section 4(a)(1) of the Securities Act providing objective standards that a security holder can rely on to meet the requirements of that exemption. Rule 144 permits the resale of restricted securities if a number of conditions are met, including a minimum holding period. For details, you can go here: https://www.sec.gov/reportspubs/investor-publications/investorpubsrule144htm.html.
Securities sold in an offering under Regulation Crowdfunding are not restricted but cannot be resold for one year (except under limited circumstances) and resales are subject to state securities laws.
STEP FIVE RESOURCES
SAMPLE RISK DISCLOSURES
HOW TO MARKET YOUR INVESTMENT CROWDFUNDING CAMPAIGN
SAMPLE INVESTOR PRESENTATION MATERIALS
In addition to the examples below, you can see private placement templates here:
RESPONDING TO INVESTORS FAQS
Check out this blog post: https://www.jennykassan.com/blog/frequently-asked-questions-from-investors-and-how-to-answer-them/
INVESTING FROM A RETIREMENT ACCOUNT
Anyone with a retirement account can set up a self-directed IRA and invest in your business. Here is an article with some details: http://slowmoneynorcal.org/self-directed-iras-and-the-slow-money-investor/
Please review the attached information about self-directed IRAs.
Here is another resource about self-directed investing from a solo 401(k): https://youtu.be/taTzvtaJiCE
Here are some custodians for self-directed IRAs that have been recommended to us:
Download the primer below and share it with your potential investors.
Also, check out this book on the topic: Put Your Money Where Your Life Is: How to Invest Locally Using Self-Directed IRAs and Solo 401(k)s by Michael Shuman.
STEP SIX RESOURCES
HOW TO EXAMINE A BELIEF
Next Steps
If you would like even more resources and support on your capital raising journey, join our free Facebook Group, Capital Insight. In the group experts, investors, and entrepreneurs share success stories, cautionary tales, and resources for creative/outside-the-box capital raising.
Current Events
Temporary Relief for Investment Crowdfunding through end of August: https://www.jennykassan.com/blog/temporary-relief-for-investment-crowdfunders/
Recent Securities Rule Changes: https://www.jennykassan.com/blog/major-changes-to-securities-rules/