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Private Syndication
What is the process of raising funds in private mode?

What is the process of raising funds in private mode?

Last updated on March 23, 2023

Running a fundraising offer in private means that a company has an initial investment interest from your own investor network – the amount the company is looking to raise will be fully covered by the investors they can source.

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1. Application and evaluation

The company (Issuer) signs up to the Funderbeam platform and starts a fundraising application from the Dashboard or by navigating to the Raise & list page.

We ask the company to provide:

  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 the 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. Read more about access sharing.

4. Closing

The company approves the indications of interest and then 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 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 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 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 (for trade orders only) Funderbeam Markets Pte. Ltd., (FB Pte). 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.