Can I market my distribution to the public when I rely on the Equity Crowdfunding prospectus exemption?

Yes, you can and should! An effective and well thought out marketing plan will be a key difference between the success or failure of your campaign.

Investing during an equity crowdfunding round looks like a U shape, with major periods of investment taking place at the beginning and the end of the round. Make sure you put adequate time and effort to marketing your campaign in the month prior to its launch to have a strong start. Use the time before your campaign to grow your online following, email list, and community.  

Like with other types of crowdfunding, companies raising capital through equity crowdfunding should expect to attract 100% of the investment they are seeking through their own community building, networking, and marketing efforts.

Setting up a ‘Coming Soon’ Page

Equivesto will set up a ‘Coming Soon’ page for you for free. This page will act like a waitlist, where you can direct members of your community and network to sign up and show their interest in potentially investing in your campaign when it goes live. The ‘Coming Soon’ page is a great way to understand the test the interest and excitement of your community regarding investing in you, 100% free.

Only after you reach 30% of your raise target on your ‘Coming Soon’ page will Equivesto start the due diligence process. There is no maximum time that a company can have a ‘Coming Soon’ page, so take as long as you need to grow your community.

Pre-Campaign Marketing

Interact with individuals who have signed up on your ‘Coming Soon’ page to keep them interested, even in advance of the campaign. Give them updates and a countdown to the launch, and offer giveaways and draws to individuals who signup. Offer company swag items (like hats, shorts, or cups) for pre-order to build their excitement and confirm they are willing to spend funds to support you.

Expect to need 1-2 months of ongoing marketing efforts prior to your campaign launch to growth this community.

Companies who raise successfully through either rewards based crowdfunding or equity crowdfunding typically budget 10% of their target raise amount for marketing expenses and work with a marketing firm.

If you decide to raise with Equivesto, we will work closely with you to provide further marketing coaching and advice.  To learn more in the mean time, visit: https://equivesto.com/campaign.

I need help with my marketing!

Creating and implementing a detailed marketing campaign for an equity crowdfunding raise is considerable work. Equivesto has several great partners who specialize in equity crowdfunding marketing, and would be happy to make an introduction. We recommend you work with a marketing firm to help ensure you have a successful campaign.

Can I market my campaign on social media?

Absolutely! Feel free to market your campaign on your business’ Twitter, Facebook, LinkedIn, Instagram, Pinterest, or even MySpace profile as long as you use the right language and guidelines for the type prospectus exemption you use.

What am I not allowed to say in my marketing?

Given that there are a few limitations on how you can market to the public using prospectus exemptions, you can’t promise any type of returns in your marketing. Furthermore, you shouldn’t disclose the details of your offer on the marketing materials that you post outside of the Equivesto site. The Equivesto team will carefully guide you before and throughout your campaign to make sure that you are properly marketing your campaign.

Do I need a pitch video for my campaign page?

Although it is not required, Equivesto highly suggests that you try to create one as it is a very important part of your campaign. A pitch video is usually the first thing that potential investors will see. If you need help making your pitch video, reach out to us. We are ready and excited to help.

Does some portion of my Application Fee go towards marketing?

Yes. A portion of your application fee covers up to 5 hours of marketing consulting, where we will help you craft your campaign. After the 5 hour mark, we can provide further marketing consultation for an additional fee. We recommend you work with a marketing firm that specializes in equity crowdfunding campaigns to improve your chances of a successful campaign.