Is Regulation CF (Title III) The Right Fundraising Path for My Company?

IS REGULATION CROWDFUNDING THE RIGHT FUNDRAISING PATH FOR MY COMPANY?

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EQUITY CROWDFUNDING

Vincent BradleyCEO & Co-Founder @FlashFundersFollow Me @vincentmbradley

Evan MarkilesOperations Manager @FlashFundersFollow Me @evanmarkiles

1Why use Equity Crowdfunding?

2What Types of Companies Fit Equity Crowdfunding?

AGENDA

3What’s Important to Know?

4 Who Can Invest?

Why Use Equity Crowdfunding?

Regulation Crowdfunding (Reg CF)Launches: May 16, 2016

Publicly fundraise up to $1m from the crowd

Everyone can play (230M Americans)

Low cost mass market funding option

Investment Limits

Financial Review and SEC Filing before offering

Your Customers Now ShareholdersBecome EvangelistIt’s a Powerful Thing!

Customers

ShareholdersEvangelist

What Types of Companies Fit Equity Crowdfunding?

Successful Rewards Crowdfunding Community Around Business

(Customers) Lead Investor ~ 20% of Round Working with Crowdfunding Agency Previous Equity Crowdfunding Round

Requirements to Launch an Offering on FlashFunders

*Only Delaware C-Corps

What’s Important to Know?

Public Disclosure of Information

Dumb Money From the Crowd

Equity Crowdfunding Taboos

Existing Shareholder Dilution Number of Investors* Investor Communication* *All Shares are managed by FlashFunders Shareholder Services (an SEC Transfer Agent) in Book Entry – post offering.

How Will Reg CF Impact Your Company Post Offering?

Who Can Invest?

Reg CF$1m Limit

Crowd(Everyone)

Reg DUnlimited

AccreditedInvestors

Only

Reg SUnlimited

International(Everyone)

Over $20K Investors• Standard Preferred Rights

Under $20K Investors Book Entry Structure Same Economic Upside Limited Rights (No Voting, No

Drag, etc.) Ongoing Shareholder Services by

FF

2 Class Structure

Fundraise From Everyone the Right Way

84% of Americans want to invest in startups where they are a user or customer.

Dylan SatinStartup Relations Manager dylan@flashfunders.com

For additional information, please contact us:

You can also visit FlashFunders to learn more:

www.flashfunders.com