GVI and Wefunder have formed a strategic partnership for Israeli founders looking to expand into the US market
GVI & Wefunder assist GVI startups portfolio startups to raise capital from their biggest supporters, customers, family members, as well as angels. On Wefunder, both accredited and non-accredited investors can participate in the round. This offers a huge opportunity for GVI founders to build an army of brand ambassadors and supporters, made up of investors in Tel-Aviv, the U.S, and beyond.
Preparation Process: Startups will need to create a U.S business entity and apply for a U.S bank account in order to raise capital. The first step in the preparation process will be to create a Deleware C Corp through Firstbase.io. They charge $399 to file your legal entity and help you register a bank account. Feel free to check out their pricing here. After the entity is structured founders will need to apply for their bank account with Mercury Bank. Check out Firebase's process here and Mercury Banks pricing here. No initial deposit is needed. You can find more information on Mercury here as well.
Wefunder Process: To get started, portfolio founders will first need to sign GVI’s finder agreement. From there founders will create a campaign page here Then, they email Ryan Pierce at firstname.lastname@example.org to schedule a fundraising strategy meeting, and after that, you’ll be ready to start raising capital through Wefunder! Wefunder doesn't directly connect founders to investors – rather, it’s a central place to tell the story of your company, manage your fundraise, and attract potential investors to your raise. For more information on how to set up a profile and kick off your Wefunder fundraise see here.
TTW Phase & Public Launch Phase: It’s important two note that there are two phases of a Wefunder raise. The first phase is the Private Phase also known as TTW. In the private phase, founders collect commitments or reservations from their customers, investors, and network. These commitments collected from investors are non-binding. No one will have access to the campaign page unless they receive the URL. The second phase is the public launch Phase. Founders must raise at least 50K in the private launch phase and file a Form C with the SEC once they go public.
Benefits: Wefunder handles legal and compliance processes free of charge. Founders can file with the SEC, draft term sheets, appoint lead investors, and send investment contracts through the platform – it’s all embedded in the tech. Startups have complete control in determining the terms of their raise. Founders set the valuation, determine the discounts, and add perks like merchandise, experiences, or discounts on their product. Founders will also receive free marketing support from Wefunder, including email marketing and paid media, once certain investment milestones are reached.
Lastly, Wefunder forms and manages the SPV that rolls all of your investors into a single line on your cap table. The SPV is critical for keeping cap tables lean, attracting high net worth investors, and receiving future follow-on funding from VC’s. For more information on SPV’s, see here.
Marketing & Growth Wefunder is just as much about growth as it is about fundraising. Most companies raising with Wefunder do so to leverage the campaign’s marketing value, to generate press, and boost key metrics like revenue, LTV, and active engagement. For founders raising on Wefunder, it’s ideal to have a budget set aside for marketing, however, it’s far from a requirement or determining factor for success. Check out the best tips from successful founders that have raised on Wefunder here.
Pricing: Wefunder will charge GVI founders a flat 6.5% (discounted from the standard 7.5%) success fee at the completion of their campaign. Investments over $25,000 brought in by the founder, are exempt from the success fee. Founders will also be charged a 5% success fee by GVI, which will be represented in their finder agreement document. In total, portfolio startups will pay 11.5% of the overall raise to Wefunder and GVI.
Nick Tommarello, Founder & CEO of Wefunder
“We believe one of the most powerful forces in the world is when someone believes in your dream… and then backs it up by investing their own money. Guys in suits should not be the only ones deciding where all the capital goes. Instead, on Wefunder, normal people are voting with their own dollars on the future they want to see built. Our Impact Report attempts to quantify the impact this has had on America - from the lives and communities we’ve helped transform, to the products and inventions our founders have created.”
We invite you to look at the Video by clicking on the Link
Companies that would like to get the invitation to a webinar that we organizing please send an email to email@example.com
For starting the fundraising click on the Link