• FundAmerica | Securities Technology & Compliance

Reg A, Test The Waters Technology

Our plug n' play technology makes it easy and inexpensive for you to test the waters.

How it Works

First, create your web page with the offering information. Make it as detailed and real as possible (including any required SEC disclosures, of course).

Next, sign up for a free account on FundAmerica, input your offering information and then put a “Reserve Shares” button on your site.

Now, when someone says they would be interested in investing, the system will:

  • Capture all their vesting information (individual, JTWROS, company, trust, IRA), address, email, phone, etc
  • Get their accreditation information and ensure that the amount they are saying they would invest is, in fact, allowable per regulations (and correct it right then and there if needed)
  • Get their ACH information
  • Get their 2111 suitability information (only if a broker-dealer is involved, otherwise this is skipped for issuers who are doing a direct offering and not using a broker)
  • Send the investor a “thanks for indicating your interest” email “from” the issuer
  • Provide the issuer with a detailed report of all completed, and even incomplete, interested investors

It really is just that easy!

Thus, while still low friction, there is enough weight to separate the wheat from the chaff. It gives you a base of people who really are interested, and allows better budgeting and “go/no-go” decisions.

KEY! When the offering goes live, the queued investors are sent an email (“from” the company) with a link for them to e-sign the subscription agreement and make their commitment. Once the investor signs, their funds are immediately moved into escrow. No hassle, no work for either the investor or the company (or the broker).

And of course the system provides the issuer with reports and tools to email all the interested investors, anytime and as often as they want in order to keep them engaged, provide updates, etc.

The result is less money and time wasted, more confidence in your offering, and better ability to plan and set sales & marketing strategy. Test The Waters is now a useful tool.