Disclosures

  • SeedInvest’s due diligence process is no guarantee of success or future results. All investors should carefully review each investment opportunity and cancel their subscription within the allotted time-frame if they do not feel comfortable making any specific investment based on their own DD. Learn more about due diligence on the SeedInvest Blog (https://www.seedinvest.com/blog/angel-investing/how-to-assess-an-investment) and our vetting process in our FAQs (https://intercom.help/seedinvest/en/).

  • SeedInvest’s selection criteria does not suggest higher quality investment opportunities nor does it imply that investors will generate positive returns in investment opportunities on SeedInvest. Learn more about due diligence on the SeedInvest Blog (https://www.seedinvest.com/blog/angel-investing/how-to-assess-an-investment) and our vetting process in our FAQs (https://intercom.help/seedinvest/en/).

  • Diversification is only across multiple early-stage investment opportunities within the asset class. There is no guarantee that this program will lead to a well-balanced portfolio of companies across industry types or stages across the asset class. In addition, enrolling in this program will not lead to diversification across your entire investment portfolio. In order to achieve diversification, we do not recommend you allocate more than 10% of your entire investment portfolio to alternative assets.

  • Testimonials may not be representative of the experience of others and are no guarantee of future performance or success. No individuals were compensated in exchange for their testimonials.

SeedInvest Halo: A Private Funding Platform for Your Angel Group or Incubator

 
 

gold halo

On Monday, we released a new product, SeedInvest Halo, to help angel groups and incubators create their own private investment platforms.   The technology allows these groups to privately invite and manage members, manage their deal funnel, syndicate deals, verify accredited investor status, conduct due diligence, electronically sign transaction documents, fund investments into an escrow account and create and manage pooled investment vehicles (LLCs).

We created Halo because we believe that, even with new general solicitation rules, investment transactions will still be most effective when conducted through existing networks and communities where trust already exists.

Lower Investment Amounts; Broader Investor Base; Promote Diversification

With a streamlined process for deal execution (electronic signing & funding) and the ability to automatically pool investors into an LLC,  investors will have the opportunity to invest as little as $1,000 in a startup.  This will open up angel investing to an entirely new breed of accredited investors, including those who are seeking diversification from public markets and who do not have the time/expertise to professionally diligence and invest in the number of companies necessary to achieve diversification themselves. It will also be much easier for people to do friends & family rounds where the ask from each individual is for smaller amounts (as low as $1,000 each instead of typical minimums of $25,000)

Halo has a robust feature set to make these types of transactions possible, including:

Streamlined Investing
Investors sign legal documents and fund investments online; powerful dataroom streamlines diligence

Accredited Verification
Automated, patent pending verification system; fully compliant for 506(c) general solicitation offerings

Group Management
Find new members; streamline communications; manage deal funnel

Pitch Event/Demo Day Support
Accredited Verification; real-time diligence and investing; webcast pitches

LLC Formation and Maintenance Tools
Built in tools to create and maintain pooled investment vehicles; post-closing tax and legal compliance

Syndication
Instantly share and track deals with other angel groups, venture funds, industry groups and investment banks

 

 

This post was written by SeedInvest on September 15, 2016

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