How does syndication work on Funderbeam?

Usually, rounds are initiated by an investor network reaching out to Funderbeam, when the deal has soft validation from the network and they are ready to invest. At this point, the paperwork and other formalities need to be sorted out.

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The standard phases of syndication on Funderbeam are:

1. Application and evaluation

The company (Issuer) signs up to the Funderbeam platform and submits a fundraising application including:

  1. Basic information about the company.
  2. Legal documents.
  3. Financials.
  4. A basic description and factsheet of the deal and the company.

Based on the above, Funderbeam carries out required due diligence on the company.

Check out further information:
What are the documents needed when we get our first approval?

2. Preparation and agreements

If all is well, the process will continue with sharing the legal draft documents.

  1. Service agreement
  2. Investment agreement
  3. SHA appendix

The company can also start filling the investment offer template.

Read more about investment and admission agreements.

3. Launch

After review, the investment offer can be launched for collecting indications from investors. Once the target amount in indications is reached, the round can be closed.

Read more about access sharing.

4. Closing

Formal, legally binding investment proposals can now be sent to investors, and payments are collected.

Meanwhile, the SPV/nominee is created and required agreements are finalised and signed. Funds collected from investors can now be transferred to the company.

The company registers new shares and the instruments are issued and shown in investors’ wallets.

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The syndication process in more detail:

View larger version →

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Video Walkthrough

Watch a video walkthrough by our funding manager Louise.

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What can and will happen after the deal is closed?

Read more about future obligations and supporting platform tools.

The information about the investment opportunities profiled on this website is provided for general information and marketing purposes only and should not be considered an invitation or inducement to engage in any investment activity. Complete and comprehensive information about an investment opportunity is only available only to investors who have been approved by a Funderbeam group entity.

You should ensure you carefully read the Risk Disclosure Statement before deciding to proceed with any investment or transaction, including making a purchase of securities via the Marketplace. Funderbeam has taken steps to ensure that company and securities offering information is clear, fair and not misleading in accordance with its internal verification procedures. Funderbeam does not provide investment advice or any recommendation to invest. Any investment opportunity on this website should not be considered as an offer to the public and is not directed at or offered to anyone to whom it may not be so directed or offered, or located in a jurisdiction where it is unlawful to do so.

This page provides you with an overview of the services provided by different entities belonging to Funderbeam Group. In this page, we generally refer to the group as “Funderbeam”, “we”, “us” or “our”.

It is important to note that funds are raised, investments are made and trade orders are placed through three investment firm service provider entities: Funderbeam Markets AS (FBAS) (authorised and regulated by the Estonian Financial Supervision Authority under permit 4.1-1/212), Funderbeam Markets Limited (FML (authorised and regulated by the UK Financial Conduct Authority under FRN 794918), and Funderbeam Markets Pte. Ltd., (FB Pte) (licensed and regulated by the Monetary Authority of Singapore under Capital Markets Services (CMS) license CMS100863). FBAS and FML are MIFID investment firms.

A Funderbeam client (whether investor or company) is a client of the service provider and under the protection of the requirements of the regulator under which that service provider operates: An EEA client’s service provider is FBAS, a UK/ non-EEA/ non-Singapore client’s service provider is FML, and a Singapore client’s service provider is FB Pte.

The Marketplace is operated as an organised market by Funderbeam Markets Pte. Ltd., in Singapore as a Recognised Market Operator (RMO) under the supervision of the Monetary Authority of Singapore. FBAS and FML are Trading Members of the RMO’s Marketplace. Access to the Marketplace for EEA and non-EEA clients is only provided by and through such clients’ service provider (ie FBAS or FML). The Marketplace does not provide services directly to investors outside Singapore.

With respect to any securities or investments offered by a US domiciled Fundraising Company, by visiting this site you confirm you are not a US resident or US person (as defined in Regulation S of the U.S. Securities Act of 1933) and you understand and agree that you are not acquiring any Investments for the account or benefit of any such US resident or US person. No investment opportunity in a US domiciled Fundraising Company is directed at US persons.