- Venture Capital Equity Crowdfunding
- Back office develops a funding model for projects
- Private investors and professional investments
- Available to all EU companies
- Focus on innovative start-ups
MyMicroInvest is a “Venture Capital” equity investment platform which uses crowdfunding techniques to allow European start-ups and SMEs raise investment from individuals (the crowd) alongside professionals. Individuals can invest (from €100) in companies listed on MyMicroInvest in conjunction with investment professionals and under the same financial conditions…
MyMicroInvest was founded in July 2011. It develops a funding model for selected projects, which consists of a combination of professional investments on the one hand and crowdfunding on the other. Consequently, it can offer private individuals a unique opportunity to invest in risk capital, along with professional investors and business angels, enjoying the same conditions and allowing them to diversify their investment portfolio.
MyMicroInvest was also the first crowdfunding platform in the world to develop a system allowing young companies to make a public offering for Belgian savings by establishing a relationship of trust with the Belgian Financial Services and Markets Authority (FSMA). This is because MyMicroInvest published a FSMA approved prospectus to raise unlimited amounts of funds using crowdfunding.
MyMicroInvest works on the principle of collaboration between the general public and professional investors for selecting and jointly investing in innovative companies.
The various steps of the financing procedure are as follows:
- Registration: The company is asked to complete an application form that enables MyMicroInvest staff to assess the company’s business.
- Financing application: The company provide MyMicroInvest staff with the necessary information about the professional co-investor. MyMicroInvest ensures that the chosen professional investor is capable of carrying out a correct analysis of the investment, that it is independent of the company management and that they have invested a sufficient amount of money in the company. Based on the information received, MyMicroInvest will work hand in hand with the entrepreneur to prepare the necessary paperwork for raising funds online.
- Financing: Once all the conditions for financing have been met, MyMicroInvest launches the crowdfunding operation. All online/internet investors are grouped together within one single organisation (MyMicroInvest Finance) who collects the funds to be reinvested together in the equity of the company. This structure means that the company will have just one shareholder in its equity. MyMicroInvest Finance participates through the management of the professional co-investor that represents the interests of all the investors within the management departments of the company.
- Follow-up: For the duration of the investment, the professional investor advises and guides the entrepreneur on the company’s growth by actively participating in the company’s general meetings and board meetings. Internet investors follow the activity and development of the business online via the exchange space provided for this purpose. The professional investor manages the investment exit and decides when to sell the shares and the conditions of the sale on behalf of all the investors.