New Impact Offerings, Realities of Debt Investing in Crowdfunding, Key Regulated Investment Crowdfunding Policy Changes, and Retrofitting Buildings for a Greener Future
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BlocPower Energy Services Featured Among New Impact Offerings – August 26, 2024
Each week, Superpowers for Good shares a list of new impact-related offerings added to FINRA-Registered Crowdfunding portals and by broker-dealers. We’ll share four separate lists:
Impact offerings determined by our proprietary analysis.
Offerings with minority founders.
Deals with women founders.
Those with LGBTQ founders.
Sometimes, it takes weeks for our source to determine that a company has a social impact, a woman, minority or LGBTQ founder. When we discover an offering qualifies for our list, even if it is no longer new, we will include it. See the lists below.
Unveiling the Realities of Debt Investing in Crowdfunding: Insights from KingsCrowd’s Brian Belley
tl;dr:
Guest Introduction: The episode features Brian Belley, VP of Product at KingsCrowd, discussing his analysis on rates of return on various debt structures and how investors should evaluate compensation for risk.
Key Analysis: Brian explains that many investors misunderstand the risks involved in debt and revenue share deals in Small Businesses and crowdfunding. He highlights the necessary interest rates or payback multiples needed to compensate for these risks.
Revenue-Based Financing Explained: Brian delves into the mechanics of revenue-based financing, where investor returns are tied to company revenues, offering flexibility for companies with fluctuating earnings.
Failure Rates and Required Returns: Data shows that pre-revenue companies have a higher failure rate (around 5.5%), requiring higher interest rates to compensate investors. As companies grow in revenue, failure rates decrease, and required interest rates also lower.
Market Trends: The transcript discusses how rising federal interest rates have influenced the interest rates offered by crowdfunding platforms, showing a trend of increasing returns to align with market conditions.
Key Regulated Investment Crowdfunding Policy Changes Needed for Greater Market Success
Recently, the Crowdfunding Professional Association issued a list of policy positions taken by its Board of Directors. I’m proud to serve on the Board. We started work on this official set of recommendations last year while I served as President. Crowdfunding lawyer Jenny Kassan has led the effort from its beginning. CfPA President Brian Christie now champions the policies.
Under Brian’s leadership, the CfPA will be hosting a Summit in Washington, DC, on October 22nd and 23rd. The first day of the event will be devoted to meetings with policymakers in their respective offices. We’re targeting meetings in four different Congressional offices, along with meetings with the Securities and Exchange Commission and the Financial Industry Regulatory Authority (FINRA). Conference registrants will be invited to participate in the meetings they choose.
Drawing on my personal experience working on Capitol Hill, I’ll lead the team meetings there.
Retrofitting Buildings for a Greener Future: A Conversation with Nicole Whalen
tl;dr:
Introduction of Green Compass: Nicole Whalen, founder of Green Compass, explains that her company retrofits commercial and multifamily buildings using green infrastructure to combat climate change, employing nature-based solutions like solar systems and EV charging.
Climate Impact of Buildings: Whalen highlights the significant role buildings play in emissions, with over 70% of emissions in Washington D.C. coming from buildings, and emphasizes the need for retrofitting to reduce these emissions.
Stormwater Retention Credits: Green Compass develops projects that utilize stormwater retention credits, a market-driven solution that allows private investment in green infrastructure, benefiting entities like churches and reducing costs while improving environmental outcomes.
Future Expansion: Green Compass, initially focused in D.C., plans to expand across the U.S. as other municipalities adopt similar stormwater management systems, driven by climate change and inadequate existing infrastructure.
Nicole’s Superpower: Whalen attributes her success to her scientific mindset, particularly her ability to view the world through ecological Relationships, and her passion for using nature to restore the environment, offering an optimistic approach to addressing climate challenges.
Max-Impact Members
The following Max-Impact Members provide valuable financial support to keep us operating:
Carol Fineagan, Independent Consultant | Lory Moore, Lory Moore Law | Marcia Brinton, High Desert Gear | Ralf Mandt, Next Pitch | Sheryle Gilihan, CauseLabs |
Upcoming SuperCrowd Event Calendar
If a location is not noted, the events below are virtual.
Impact Cherub Club Meeting hosted by The Super Crowd, Inc., a public benefit corporation, on September 17, 2024, at 1:00 PM Eastern. Each month, the Club meets to review new offerings for investment consideration and to conduct due diligence on previously screened deals. To join the Impact Cherub Club, become an Impact Member of the SuperCrowd.
SuperCrowdHour, September 18, 2024, at 1:00 PM Eastern. Each month, we host a value-laden webinar for aspiring impact investors or social entrepreneurs. At September’s webinar, Devin Thorpe will provide an in-depth answer to the question, “Can I Beat the Stock Market with Impact Crowdfund Investments?” Free to attend.
Superpowers for Good Live Pitch, September 25, 2024. The application window is open now. Apply today! The Live Pitch will stream simultaneously to the e360tv network, Facebook, Linkedin, YouTube and Superpowers for Good. We hope for an audience of thousands! Don’t miss this opportunity to pitch your regulated investment crowdfunding campaign to the SuperCrowd!
Recently, we created an AI GPT to help you learn more about The Super Crowd, Inc., a public benefit corporation, and our upcoming events. Click here to try it.
Community Event Calendar
Successful Funding with Karl Dakin, Tuesdays at 10:00 AM ET – Click on Events
Community Revitalization, Thursdays, 10:00 AM Eastern.
SEC – CfPA Webinar, September 17, 2024, at 11:00 AM Eastern.
Main Street Skowhegan and NC3 Entrepreneur Finance Workshop Series, September 17 – November 19, 2023.
Power Your Passion: Funding Social Enterprises Through Crowdfunding, September 19, with Paul Lovejoy, Logan Fahey, Eve Picker and Devin Thorpe.
Crowdfunding Professional Association, Summit in DC, October 22-23
If you would like to submit an event for us to share with the 8,000+ members of the SuperCrowd, click here.