FundersClub is a new type of venture capital platform, built around a unique online marketplace that allows accredited investors to become equity holders in FundersClub-managed venture funds – which then fund pre-screened, private companies. The platform combines industry-standard venture funds, with an easy-to-use web-platform that allows members to browse and screen fund investment opportunities, view investment profiles and sign legal documents. The result – deserving companies get the capital they need, and investors get unprecedented access to the opportunities they want and the ability to build a diversified portfolio.
Investments are made in venture funds set up for the startups, and therefore, the minimum check sizes are 10-20 times smaller than typical angel investments - $2.5K-$5K typically, vs. $25K-$250K. This provides an easier way to build a diversified portfolio
Insider access to invest in startup opportunities that are pre-screened by FundersClub Investment Committee and FundersClub Panel (a panel of FundersClub investor members).
To be an accredited investor requires a minimum income and/or net wealth. The sign-up process of FundersClub verifies the accreditation of its members.
Unlike many angel groups, it is free to be a member of FundersClub.
For each company fund, there is a detailed profile of the company, including a pitch video of the founders
Members can view highlights of startup opportunities on the Browse Deal page and click to learn more about ones that interest them
FundersClub will send email updates when launching new opportunities or with interesting updates on existing opportunities to members, roughly once per week.
There is a Q&A Forum where members can post questions they have about the startup, and the founders can reply.
Members can pay online with ease by entering bank account information, and FundersClub will issue a bank transfer
Once you decide which fund you want to invest in, you can easily sign the legal docs online using e-signature
FundersClub may request additional information to verify a prospective investor’s accredited investor status
FundersClub startups may use an email distribution list to contact investors directly, for targeted help, for example, for introductions for partnerships, if they are looking to hire a new developer, or launching a new product.
Most FundersClub startups will provide updates, usually quarterly or monthly, to the fund investors. Details of how startups plan to keep fund investors in the loop are found on each profile page.
FundersClub holds events and networking opportunities for its active members, its startups, and its dealflow partners in various cities around the world.