| | APRIL 20219· Absolutely no one in the 10+ years of Wholesale Investor has said they enjoy the capital-raising process.· The common belief that software can play a role in improving it.· Currently, online platforms are targeting retail investors and aiming to charge a 6­8% success fee and are effectively advisors with a website.· Current platforms compete with the existing industry, not ENABLING.Software Driven Future of Raising Capital and Deal Making· The future of capital raising is subscription-based deal-making. It will utilise AI-driven matchmaking, active engagement, frictionless end to end transaction transactions, liquidity potential, and the creation of more opportunities.Understanding software-driven capital raising;· Going forward, capital raising learns from the most successful technology, platforms, and marketplaces it has been investing in. · It learns that no one owns investors, and they have multiple sources of deal flow with no exclusivity to any advisor, friend, investment bank, platform, or private bank.· Subscription-based billing is the path forward.· The software will lead the matchmaking and analytics, with the real skill being provided by advisors in the deal creation and structuring. The Future;COMPANIES: Investors discover or AI-matched to them. The end-to-end process saves time and money. The business impact of a capital raise on a business is reduced.INVESTORS: Are aggregated and matched with relevant deals, with access to the information they desire.INDUSTRY: Utilise end to end software, streamline processes, improve efficiency, access to analytics, and ability to make more money by working on more opportunities. For a Corporate Advisor who works on 4 to 6 opportunities per year, now they can work on 8 to 12.LIQUIDITY: With the aggregation of deals and investors, dealmakers can create liquidity opportunities.Recently, I hosted a webinar on this subject. In the webinar, I talk about what we see as the future of capital raising and deal-making and how we are working towards the challenges faced by companies, dealmakers, and investors alike. You will also receive an insight into some of the new features and modules we are building on our platform, CRIISP.C.R.I.I.S.P - Our Vision of The FutureCRIISP - Capital Raising Intelligent Investment Secondary Platform. The name alone guides us as to what we are building. From our perspective, this is the logical evolution of capital raising and investment in emerging growth companies.We are taking a software-driven, end-to-end, ecosystem enabled approach that will utilize detailed analytics and AI to assist companies, investors, and professional services in their deal-making. MYTHS vs REALITIES - 3 Daily Myths We EncounterIT TAKES 2 - 3 MONTHS TO RAISE MONEY: This is the greatest myth told about raising money. This pressure is placed on Founders / CEOs, from Advisors and Investors. When I host workshops for 100 to 150 people, and I ask, "who has been able to complete a capital raise from start to finish in under three months?" typically on 1 or 2 hands go up. I have never seen an advisor offer 2-month mandates. Ask a General Partner of a VC or PE Fund if it took them less than two months to raise their capital from LPs. The truth is, everyone is raising capital, or they are raising friends.ADVISORS AND COMPANIES ARE USING ANALYTICS FOR THE CAPITAL RAISE: From our survey, less than 15% of advisors and companies are using analytics for their capital raise.VCs ARE THE MAIN INVESTORS: It is well known that VC's invest in less than 1 in 100 (sometimes 1 in 1000) companies they meet. So how are all the other companies been funded? From our observations, private HNWs, Industry participants, and Family Offices drive a lot of the investment in the venture space.Digital Security Offerings (DSOs)Right now, hundreds of millions of dollars are being invested in Exchanges and Registry services driven by distributed ledger and blockchain technology. While it is still early days, there is little doubt that DSOs will become a standard part of how companies and projects raise money.
< Page 8 | Page 10 >