How Reg CF Crowdfunding Portals strengthen legitimacy through improved transactions transparency

Crowdfunding gave birth to a lot of major companies that started from promising start-ups. Traditionally, however, they did not provide opportunities for all investment classes to actually invest and prosper from a start-up’s success. With so many crowdfunding platforms and campaigns, how do investors know which ones are legitimate and which ones give them the ability to participate in a company’s growth?

According to BBC News, if the information about the campaign is poorly communicated, there is greater chance that it is a fraud. It is also highly advisable to check other news connected to the campaign. The start-up’s logo must be indicated on the platform as well. Transactions must be recorded, while it is recommended to check the comments section to see if the page is updated regularly.

These checkpoints can be reflected on truCrowd’s home page. truCrowd is a Chicago-based equity crowdfunding portal which is 1 of only 38 Reg CF portals currently registered with FINRA. truCrowd offers personalised and professional funding opportunities for investors and start-ups. What makes it interesting is that businesses can choose who can invest in their company, and as a Reg CF portal, investments can be taken from both accredited and non-accredited investors. This means that a company has a free hand to screen investors that are aligned to their vision and mission, reject the unwanted ones, and essentially accept money from people of all investment classes, particularly, the poorer class.

Visitors to their website can see vital information about campaigns such as logo, start-up name, location, and progress. There is also available FAQ page for the newbies. In short, the website is user-friendly and transparent.

For those interested in setting up accounts in truCrowd, all they have to do is follow these steps: Create a company profile and upload business plan. The truCrowd team will then make some evaluations. The entrepreneur must also make an investor pitch and a video pitch that will be monitored by truCrowd. After these requirements are satisfied, the offer will be made live on truCrowd.

Recently, truCrowd has ventured into accelerator services after signing a deal with Digital Arts Media Network (OTCMKTS:DATI) that will give the latter 39.89 percent ownership of the crowdfunding portal platform. This move is seen as strategic to DATI because it can now tap the potential of over 17,000 registered users of truCrowd. Aside from capital investment, start-ups will also get mentorship programs and marketing of products to an international audience.

DATI is also beneficial to angel and early-stage investors as well as accelerators because DATI offers programs that provide access to early liquidity from private investments without losing any of their equity ownership in the start-up. Upon DATI’s recommendation, investors will get peace of mind knowing the high risks of their private investments have been greatly lessened.

By collaborating deals with industry leaders and experts, truCrowd is strengthening its case against fraud crowdfunding campaigns. However, being a legit platform does not guarantee instant ROI for investors. There will always be risks involved but these are lessened with truCrowd. The company is run by Vincent Petrescu, who has more than a decade of experience in marketing, customer service and finance. He is joined by Claudia Ecobici, the multilingual strategist, consultant Florence Hardy and advertising ace Stacey Shi.

Article written via press release sent for consideration.