Part V
Becoming a Crowdfund Investor
In this part . . .
If you aren’t an entrepreneur or small business owner but you want to tap into crowdfund investing’s potential, this part is for you! Many people have the opportunity to invest in small, private companies for the first time thanks to the legislation that legalized crowdfund investing. But before you put one dime into any project, no matter how well you know the players involved, you need to read this part.
You must be aware of the risks inherent in investing in small businesses and startups, and you have to make sure that this type of high-risk investment fits into your overall financial portfolio. You should also be prepared to do your homework by really studying the various opportunities available to you and knowing what investment limits the Securities and Exchange Commission has set. With that information in mind, you can consider how to commit your capital, how to become a valuable asset to any company you support, and how to map out your investment exit strategy.
