IRR and Exit Math in Reg CF Investing
Internal Rate of Return (IRR) and Exit (or Return) Multiples are key elements when starting out in equity crowdfunding. Learn what they are, why they are important, and how to calculate them.
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Angel by Jason Calacanis – Book Review and Key Lessons
For our first monthly investment book review, we dive into Jason Calacanis’ book “Angel: How to Invest in Tech Startups”. Find out what some of the key lessons and takeaways are for equity crowdfunding investors.
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Risks of Equity Crowdfund Investing – Part 2
As an asset class, equity crowdfunding offers new investment opportunities, but it also comes with new risks. Learn about the seven types of risk specific to the Reg CF asset class.
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Risks of Equity Crowdfund Investing – Part 1
In Part 1 of understanding risks in equity crowdfund investing, we will learn about risk-reward tradeoffs and dive into the human psychology that impacts our investment decisions.
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How Much Time to Spend on Due Diligence
Today, we look to provide some perspective on the question “how much time should I spend on due diligence for equity crowdfunding?” We analyze historical data from Angels and VCs, and pose questions that every investor should ask.
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Monte Carlo Analysis of WeFunder Results – Q4-2018
Interested in some actual analysis of real equity crowdfunding data to date? We constructed a Monte Carlo Simulation to run over 140,000 investment scenarios based on the Q4-2018 WeFunder Reg D results. We’ll dive into the results and potential implications in terms of portfolio size and expected returns in today’s post.
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What Financial Returns to Expect from Equity Crowdfunding
With the high risk of failure in equity crowdfunding, what are the returns that investors can expect? We will use historical data from Angels and VCs and current results to start to assess potential investment returns.
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Power Law Investing in Crowdfunding
Power laws govern not only financial returns but many other things in life. Learn what power law investing is and how to leverage it for your investments.
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Equity Crowdfunding Terminology
Jumping into the equity crowdfunding world can be scary for new investors. In today’s post, we provide an overview of the most common terms to help you get started investing in startups.
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Determining Allocation and Check Size in Equity Crowdfunding
Before you make your first investment in equity crowdfunding, it is vital to plan how much you will invest total in early-stage companies, and how much you will invest in each deal. Today, we will provide some guidance and examples to help you plan your equity crowdfunding portfolio.
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