General FAQ

What is CFG? 

CFG (CrowdFunding.Guide) is a site and investors’ community where investors find the best online startup investment opportunities worldwide.

We host selected startups and provide investors with direct access to them, without taking a toll on the investment (no brokerage fee, no carry). We further expand the selection we present on our platform by sharing selected investment opportunities from other online platforms. 

Is CFG for all investors or only for accredited investors? US investors or international?

While CFG’s primary focus is on accredited investors and angels, some of the startups on CFG accept investments from all investors, non-accredited included. 

Almost all startups presented on CFG accept USA and non-US investors (some restrictions may apply). 

What kind of startups or investment opportunities can be found on CFG?

We focus on innovative startups and are sector and location agnostic. We work with startups seeking equity financing, willing to have their offering appear online. We look for startups with technological innovation or a very unique and innovative business model. 

We also present a selection of platforms that have online investment opportunities in real estate crowdfunding. In the future, we plan to feature specific real estate investment opportunities in the future.  

CFG is not for SMBs, P2P lending platforms, crypto trading, ICOs etc. 

Is CFG an investment or crowdfunding platform? 

CFG is the place to find the best online startup investments and the best place to get concise, focused information about such startups. Investments do not take place on our platform.

We act as a platform for some of the selected startups on our platform, in the sense that we connect or direct investors directly to those startups. However, investments do not take place on our platform. Any negotiation or transaction is completed between these startups and the investors without any involvement or mediation by CFG. We are not registered with FINRA, and we are not registered investment advisors or broker-dealers in any jurisdiction. 

In addition to the above, we present a selection of startups that have their main fundraising page on external platforms (such as Wefunder, StartEngine, etc). 

How does CFG make money? 

CFG is completely free of charge for investors. We also do not take any part of the investment, no brokerage fee and no carry when you invest in the startups that we provide direct access to.

(If you invest in startups that are presented on CFG but raise funds on another platform, the fees and costs of that other platform will apply.) 

For eligible startups, we create Pitch Summaries (listings) for free. We do charge eligible startups for advertising their offerings and other services, including introducing them to potential investors (see the FAQ For Startups for more details). We do not take a brokerage or finders’ fee.

We may also get paid by other platforms or service providers for advertising on our site or for referrals, through email introductions, affiliated links, or otherwise. 

Are there any legal or regulatory issues to be aware of as a startup or potential investor? 

We regularly consult our legal advisors to make sure that we are compliant with the latest SEC regulations. If you are not from the US or Israel, you might want to consult your legal counsel about the specific regulations in your country, as some countries (such as Canada) might have specific regulations or restrictions you should be aware of. 

What are the different US regulations for raising equity funding online?

The US has made changes in recent years (and will continue to adjust its regulations in the near future) to its securities laws, and now allows companies to sell securities and raise money from the public early on, and solicit their offerings. The SEC has set a few unique regulatory frameworks for such fundraising activities. We encourage you to learn about these regulations in detail on the SEC website. 

Here is a brief (and partial) overview:

Regulation Crowdfunding (Reg CF): Startups can raise up to $1.07M from unaccredited investors. They can present their offering and sell their securities on regulated platforms and are obligated to disclose financial information and more. To raise money under Reg CF, a company must be registered as a US entity.

Regulation D 506c (Reg D): Startups can raise any amount, but only from accredited investors. The issuers must take reasonable steps to ensure that the investors indeed are accredited. Non-US startups can raise money under Reg D. Complying with Reg D is easier than the other exemptions and requires filing a relatively simple form (Form D). 

Regulation A/A+ (Reg A): Might be thought of as a “mini IPO” for companies raising between $5-50M from unaccredited investors. Non-US companies can use this exemption to raise funds. 

Investor FAQ

How much does it cost to use CFG as an investor? 

Nothing. Our services are free for investors. We also do not take any part of the investment, no brokerage fee, and no carry when you invest in the startups that we provide direct access to.

(If you invest in startups that are presented on CFG but raise funds on another platform, the fees and costs of that other platform will apply.) 

Who can use CFG as an investor? 

Virtually anyone, however, you must check the criteria for each startup or platform presented on CFG.  Many of the startups are restricted to accepting only accredited investors, but some accept any investor. Most accept investors from any locations, but others might have other restrictions such as limiting investors from certain geographies.
CFG is a great option for angels and investors that are confident in taking their own investment decisions and want the advantages of connecting directly with startup founders.

What are CFG’s advantages from an investor’s perspective? How do you differ from other platforms?

There are various platforms that offer startup investment opportunities. Our unique model holds many advantages for investors including cost, clarity, direct access, and our wide selection:

1. Cost – We are truly free: Unlike other platforms, we are truly free for investors. We take no toll on your investment, no brokerage fee, and no carry. Other platforms might claim to be free for investors, but they
   take a brokerage or success fee as a percent of the investment – meaning that ultimately you are paying it, since part of your investment is used to cover this fee.
   We also take no carry. You might think that committing to pay a carry from a successful liquidation event in the future is insignificant, but in fact, it is. Consider that the returns from successful investing in early-stage startups usually all come from just a fraction of the startups invested in. This means it is reasonable to expect a loss on most of your investments, as a small number of big exits (or even just one) can bring in returns that compensate for all your losses. Now think of the implication of giving away a quarter of the returns from that one successful exit as a carry and the impact that carry will have on your overall returns. We take no carry, on CFG the success you will hopefully gain will be all yours to keep.
2. Clarity and ease of use: We present the information on the startups in the clearest way possible, highlighting the key factors and metrics. You can browse startups on our Pitch Summaries page and get a quick idea of which ones are of potential interest, then go to their full Pitch Summaries (listings) and get the most important info in a clear and short format. That will allow you to decide quickly, within minutes, whether you want to spend more of your time learning about the startup, or not.
   We have spent a lot of time and energy refining and standardizing the way we present startups so that you don’t waste your time unnecessarily trying to understand whether or not a startup is worth exploring for a potential investment. We don’t drown our site visitors and investors in endless verbiage about each startup, as many other platforms do.
3. Direct Access: We offer investors direct access to many of the startups on CFG, by making a personal email introduction between the investor and one of the startup’s leading team members or founders. This is a great way to connect with the startup, learn about it and about the team, and start a relationship with them. This level of access is particularly valuable for investors that want to be involved with the startup beyond the money they invest, such as by providing advice and connecting with their network.
4. Wide Selection: CFG is a sector agnostic platform for startups from around the world. In addition to the startups that raise funds directly on CFG, we also host listings from startups that are raising funds in real-time on other platforms, as well as listings for other platforms. We do that to widen the selection investors can find on CFG and increase their potential deal flow.

Are the startups presented on CFG screened and curated?

To qualify for a listing on CFG startups are screened and selected based on the Five Startup Strength Indicators. We prefer startups that have at least two notable strengths out of the five. Startups may be accepted if they have only one of the Five Startup Strength Indicators if it represents a stellar achievement in its category and if they are recommended to CFG by one of our deal-flow partners. Our team also reviews startups for other aspects of their offerings, such as valuation, market opportunity, and “red flags”. 

US startups must have a valid SEC filing, and we expect non-US startups to complete the simple Reg D filing to the US SEC.* In some cases, where we lack a valid reference on the startup (such as from one of our deal-flow partners), we require proof of proper registration and company formation. 

Startups that have their main or exclusive listing on CFG undergo further screening: 

Startups accepting only accredited investors can have a listing exclusively or mainly on CFG, and use our services to connect directly with accredited investors. To be accepted, startups undergo another level of curation. For our in-house selection, we look for strong references (such as from our deal-flow partners) and interview the founders before accepting them to our platform. 

Important: In our selection process we rely on SEC filings and online sources, and on the information presented to us by the startups themselves. You must complete your own due diligence before making an investment decision. 

* In some cases, non-US startups may be accepted before filing their Reg D forms, if they: 1. Have been validated as a legitimate and legal offering otherwise (such as by referral from one of CFG’s trusted partners) and 2. Commit to complete their Reg D filing once they complete the first transaction with a US investor.

How do I know if I am an accredited investor? 

Each country has its own definition of accredited investors, but most startups on CFG rely on the US definition. A natural US person is considered an accredited investor when having a yearly income above $200k (or $300K together with a spouse), or a net worth above $1M (jointly with a spouse, excluding the value of one’s primary residence), but some additional regulations apply. Please see the US SEC’s definitions here. You are welcome to read our article on the topic to learn more. 

Please be aware that to complete an investment as an accredited investor the startup will most likely need you to provide proof of your accreditation level. That can be easily done by providing a letter from your CPA, or online through the use of third-party service providers, for a small fee. 

Should I invest in startups that appear on CFG?

It is up to you to decide. Our service to you is in that we select and screen investment opportunities, make them more easily available to you, and summarize and highlight key metrics to help you decide more efficiently and effectively. 

After you find startups you are interested in on CFG, it is now your job to go deeper, learn more about the startup, decide if you are interested in investing, and complete your due diligence by going through their documentation, etc. Please be realistic, cautious, and responsible with your money – startup investing is risky and could result in the loss of your entire investment. We recommend that you diversify your portfolio to reduce your risk and that you always consult a professional investment advisor that knows your personal financial situation. Please read the disclaimer at the footer of our website. 

I am part of an angel group/VC/micro-VC, is CFG for me?

Definitely. We do not take any brokerage fee or carry, and present only selected startups, so you can readily benefit from the deal-flow on CFG. We are happy to partner, such as by promoting your portfolio startups on CFG (so long as they meet our selection criteria of course).

You are welcome to contact us, we look forward to collaborating with you.

Startup FAQ

How much does it cost to appear on CFG?

For eligible startups, adding your Pitch Summary (listing) on CFG is absolutely free. 

See our Pricing page for the costs of our additional services. 

Why should I want to appear on CFG? How can CFG help me? 

CFG is a place for potential investors to explore startup investment opportunities, particularly accredited investors. If you are looking for investors for your startup, you want to be on CFG. 

CFG is a great place to find angel investors, so the startups that come on our platform are typically raising their seed money (including pre-seed and late-seed), or bridge rounds. 

How can CFG help me promote my fundraising and raise more money? How much will it cost? 

We connect you directly with interested, accredited, angel investors, at the lowest rates.

If you wish to raise funds directly from accredited angel investors, CFG is the place for you. For eligible startups, we offer packages of introductions to interested angel investors and more. See the next question to learn why you should be interested.

We have various other services aimed to help you boost your fundraising campaign. Please see our Pricing page for the details. 

What are the advantages of CFG in raising capital from accredited investors? 

The main purpose of promoting your capital raising on CFG is to connect directly with accredited angel investors. Beyond the money, they often bring with them the added value of expertise, experience, and network. We believe that interacting with investors is a great way not only to raise capital, but to strengthen your network, gain insights, and improve your pitch and business plan. 

Once your startup is accepted to use CFG as your fundraising platform, we will get you connected with accredited angel investors that are interested in your startup. And while we do it we give you peace of mind, flexibility, freedom, and full control. It is also cost-effective and affordable.

Our advantages:

• Real investors, real interactions: You pay for personal introductions to real, active angel investors that have seen your Pitch Summary on CFG and want to interact with you. These investors can bring along other investors, and often commit to investing well above your minimum accepted amount. 
• No brokerage fee, no carry: We take no part of your investment, making it easier for investors to invest in your startup. 
• As much or as little as you need, you’re in full control: You can take in as many or as little investors as you want, and be in full control of the process. We are not taking any part in the transaction. You can start with a purchase of a relatively small amount of leads, then add as you go along.
• You can choose to leave the marketing to us. We encourage you to advertise your CFG Pitch Summary, but if you prefer you can just leave it to us. We will be promoting your Pitch Summary ourselves in any case.
• Data: If you do make online marketing efforts aimed at your CFG listing, we will provide you with full access to the data (via Google Analytics) so that you can make the most of your marketing activities.
• Control your level of public exposure: Some startups want to reach angel investors but do not want their information or even the fact that they are accepting investments to be public. We will customize the listing and its visibility as per your request. For example, we can have your Pitch Summary visible or not to Google Search, have some or all of your Pitch Summary limited to only registered users, and more. 
• No exclusivity or limiting clauses: When on CFG, you can choose to have your offering also presented on other platforms or your own website. 
• No public count, no pressure: We do not display information about how much money you have been raising on CFG. You don’t have to worry about “showing momentum” on the campaign. 
• No Time Limit: There is no time limit and no ticker pressuring you. You can have your CFG listing as an ongoing channel to bring in angel investors for as long or as little as you want. 
• The lowest rates: With CFG you are paying for the leads, so the cost actually covers marketing. That makes us by far the most cost-effective option available.
  Having a listing is free. We do not ask for equity and give you flexible paying options. 

We want to raise money from angel investors, but we don’t that to be done publicly, how does that work with CFG?

We are able to help you raise funds from private angel investors in a completely private way. We can have you listing in incognito mode, so it is not visible publicly, or even to our registered users, if you prefer. Your listing will be password protected and only potential investors with the password will be able to view it.

How do I apply my startup to CFG? What is the application process? 

If you have an innovative startup we welcome you to apply to our platform. There is no cost to apply. Simply fill in our form by following the link here. 

We might ask to have a call with you to better understand your offering and to decide whether your startup is a good fit for CFG. 

Does my startup qualify to appear on CFG? What are the acceptance criteria?

Firstly, CFG is for innovative startups, not for SMBs or alternative assets.

To qualify for a listing on CFG startups are screened and selected based on the Five Startup Strength Indicators. We prefer startups that have at least two notable strengths out of the five. Startups may be accepted if they have only one of the Five Startup Strength Indicators if it represents a stellar achievement in its category and if they are recommended to CFG by one of our deal-flow partners. Our team also reviews startups for other aspects of their offerings, such as valuation, market opportunity, and “red flags”. 

US startups must have a valid SEC filing, and we expect non-US startups to complete the simple Reg D filing to the US SEC.*  

Startups that apply to have their main or exclusive listing on CFG undergo further screening: 

Startups accepting only accredited investors can have a listing exclusively or mainly on CFG, and use our services to connect directly with accredited investors. To get accepted, startups undergo another level of curation. For our in-house selection, we look for strong references (such as from our deal-flow partners) and interview the founders before accepting them to our platform. 

Important: We retain the right to decline to publish any listing on our site and to remove any listing or publication fully or partially at any time, at our discretion, even if it meets the above criteria. 

* In some cases, non-US startups may be accepted before filing their Reg D forms, if they: 1. Have been validated as a legitimate and legal offering otherwise (such as by referral from one of CFG’s trusted partners) and 2. Commit to complete their Reg D filing once they complete the first transaction with a US investor.

Does appearing on CFG undermine or somehow compete with my listing or fundraising page which is on another crowdfunding platform? 

Not at all, on the contrary. For qualifying Reg CF startups, we will help you bring more high-quality traffic to your fundraising page. 

For qualifying Reg D startups, you can decide whether you prefer that we help bring high-quality traffic to a fundraising page you set up on another platform, or if you want us to connect you directly with investors. 

We want to take CFG’s services but we want to pay only on success. Is that ok?

No, sorry. You pay us a small fee in advance for the introductions we make, regardless of whether these introductions result in investments, and regardless of the sums invested. This is in compliance with the US SEC regulations. Overall, you will end up paying us less than you would pay on other platforms that charge you a “finders’ fee.” You can pay us for the introductions as we go along so that you are only committing a relatively small amount of money in advance. 

I need some advice on raising funds and on equity crowdfunding. Can you help?

Startups often consult with us on their equity crowdfunding campaigns, and we are happy to help. Contact us via the contact page, and we will do our best to help and direct you to the best resources, or to the crowdfunding platform suited for your needs. If you need more help, we can direct you to one of our partners. 

Platform FAQ

Why should we want to have a listing on CFG?

CFG is visited at every hour of the day by both investors and entrepreneurs from around the world.

Which platforms are eligible for a listing on CFG?

Any legitimate, operating online platform presenting investors with investment opportunities in innovative startups, or in real estate projects. We host platforms from anywhere in the world.

What is the cost of a listing on CFG for platforms? How to apply?

There is no cost to having a listing on CFG. To apply please follow the link to complete the form.

CFG is also an online startup investment platform – doesn’t that mean we are competitors? 

We believe in adding as much value as possible to our site visitors, investors, and startup entrepreneurs, by expanding their options. Our mission is to promote innovation by supporting startups from around the world and to create a truly international community of angel investors and entrepreneurs. The world is big. We are happy to collaborate with like-minded platforms and grow together.

How can we, as an online investment platform, partner with CFG?

We have paid services to promote your listing on CFG, please see our Pricing page. Beyond that we are happy to discuss collaborations and find synergies, you are welcome to contact us.