What is EquityNet and How Does it Work

EquityNet is a unique online platform that connects accredited investors with small businesses and entrepreneurs seeking funding. It's a game-changer for those who have been turned down by traditional banks or lenders.

EquityNet uses a proprietary algorithm to evaluate the financial health and growth potential of businesses, providing a more accurate assessment of risk than traditional credit scoring methods.

This approach allows EquityNet to offer funding to businesses that might not qualify elsewhere.

EquityNet is an equity crowdfunding platform that connects businesses to investors.

It was founded in Fayetteville, Arkansas, in 2005, a whole 8 years before the term "crowdfunding" became a buzzword.

The company's platform allows businesses to share their pitches with investors privately, which was the only way to do it before the JOBS Act was enacted in 2013.

EquityNet offers cloud software that helps businesses build a business plan, making it easier for investors to decide if they're worth investing in.

This software can be used even if you don't plan to fundraise through EquityNet, giving you a valuable tool for analyzing and optimizing your business planning.

EquityNet offers a range of features and services that make it an attractive platform for entrepreneurs and investors alike. You can use EquityNet for free, but with limited options, or pay a subscription fee to unlock more features.

If you decide to pay, you'll get access to a variety of tools and services, including creating a business plan, viewing detailed investor profiles, and utilizing patented business planning tools. You'll also be able to upload and share documents with other users, and publish your profile to partner sites for increased exposure.

EquityNet has a straightforward pricing structure, with a fixed monthly fee of $299. This is a great offer compared to competitors like Fundrise, which takes a percentage of your investment earnings. You can also opt for a longer-term subscription, which will cost you $2990 monthly.

Here are some of the key features and services offered by EquityNet:

EquityNet offers a range of services to help entrepreneurs find the funding they need. You can use the platform for free, but with limitations.

As a non-paying subscriber, you can set up and publish a business and funding profile, view summarized EquityNet investor profiles, and "crowdcast" your business profile for free. This means you can email your business profile to your social media and email contacts.

If you decide to pay for a subscription, you'll get access to more features, including investor activity tracking, expanded profile viewing, document uploads, business plan analysis, and more.

Here are some of the things you'll be able to do on EquityNet's platform with a paid subscription:

It's worth noting that EquityNet holds five patents in the areas of enterprise analysis, crowdfunding marketplaces, enterprise monitoring, and enterprise risk quantification.

EquityNet owns a portfolio of five granted patents that describe and claim various crowdfunding technologies.

These patents include U.S. Patent 7,698,188 titled "Electronic Enterprise Capital Marketplace and Monitoring Apparatus and Method" and U.S. Patent 7,908,194 titled "Electronic Enterprise Analysis Apparatus".

EquityNet's patents describe inventions within the private business domain for crowdfunding marketplaces and enterprise analysis.

U.S. Patent 8,484,110 titled "Electronic Enterprise Monitoring Apparatus" is also part of EquityNet's portfolio, as well as U.S. Patent 8,793,170 titled "Electronic Enterprise Capital Marketplace Apparatus and Method".

Another patent in EquityNet's portfolio is U.S. Patent 8,793,171 titled "Electronic System for Analyzing the Risk of an Enterprise".

EquityNet's customer support is available through a contact form for email support. Unfortunately, phone support is no longer an option, although this may differ for paid subscribers.

EquityNet has a comprehensive FAQ page that answers many questions across categories including security, creating a business profile, and using business plan analysis software.

The company also has a company blog, and EquityNet has social media profiles on Facebook, X/Twitter, and LinkedIn that are updated on a fairly regular basis.

There are no complaints from users online about the quality of customer support, which is a testament to the company's commitment to providing good service.

EquityNet is a trustworthy company with a long history, offering both debt and equity crowdfunding options. They have a professional and helpful customer service team.

One of the standout features of EquityNet is the business plan software solutions they provide. These tools feature step-by-step wizards that guide you through the process of creating a solid business plan, regardless of your experience.

Here are some of the key pros of using EquityNet:

However, there are some cons to consider, such as the lack of an online investing option and the need to pay to view full investor profiles and contact them.

EquityNet has taken steps to protect its innovative ideas by filing patents. One of these patents is for an Electronic enterprise capital marketplace apparatus and method.

This patent was granted on July 29, 2014, after an application was filed on January 19, 2011.

The patent's title gives a clear idea of what it's about - an electronic marketplace for enterprise capital. This is a significant development in the world of finance and technology.

The patent covers related topics such as crowdfunding platforms, bonds, cybernetics, exchange-traded funds, and knowledge bases. This broad scope suggests that EquityNet is aiming to revolutionize the way businesses access capital.

EquityNet has filed a total of 5 patents, but we only have information on one of them.

EquityNet's website is refreshingly straightforward, with no hidden agendas or tricks up its sleeve.

The company clearly states that it's not a registered broker-dealer, which means it doesn't handle financial transactions between investors and investees.

EquityNet provides easy-to-find links to its Terms of Service, Privacy Policy, and Risk Factors, giving users a clear understanding of what they're getting into.

There are no red flags on the website, making it a trustworthy platform for those looking to invest.

EquityNet earns a near-perfect 4.9/5 for its sales and advertising transparency, demonstrating its commitment to honesty and openness.

EquityNet offers a range of benefits for investors and entrepreneurs alike. No fees are charged to investors, making it a cost-effective option.

One of the standout features of EquityNet is its professional and helpful customer service team. They're always available to answer questions and provide support.

Entrepreneurs can easily find investors through EquityNet, making it a great platform for those looking to raise funds. It's also more than just a crowdfunding platform, offering business plan software solutions to help entrepreneurs plan and prepare for their campaigns.

EquityNet offers both debt and equity crowdfunding options, giving entrepreneurs the flexibility to choose the best approach for their business. They also have a long history of trustworthy operations, which is reassuring for investors.

Here are some key benefits of using EquityNet:

EquityNet has its drawbacks, including the lack of an option for investing online, which can be inconvenient for some people. This means that investors and business owners have to rely on offline funding methods, which can be time-consuming and cumbersome.

One of the biggest cons of EquityNet is the limited access to investor education materials. This can make it difficult for business owners to navigate the platform and make informed decisions.

You'll need to pay to view full investor profiles and contact them, which can be a significant drawback for those on a tight budget. This can be a major barrier to entry for many business owners.

Creating a business plan on EquityNet can be a frustrating experience, thanks to the unnecessary fields that you have to fill out. This can be a major time-waster, and can make it difficult to focus on the important aspects of your business plan.

Here are some of the key cons of EquityNet:

EquityNet is a unique platform that allows investors to provide capital to small businesses and startups in exchange for a percentage of ownership. It's a win-win situation for both parties.

The platform has been around since 2005, giving it a solid track record of success. EquityNet has facilitated over 100 deals, providing funding to various businesses across different industries.

One of the standout features of EquityNet is its rigorous due diligence process, which ensures that investors are making informed decisions. This process includes financial analysis, market research, and more.

Investors can browse through a vast database of businesses seeking funding, allowing them to find opportunities that align with their interests and risk tolerance.

EquityNet's application process is surprisingly straightforward. There's no prescreening process, making it easy to get your business profile up on the platform.

To access the full range of features, including uploading a full business plan, you'll need to sign up for a paid subscription. This is where things get a bit more complicated, but it's still relatively easy to get started.

The pricing structure is simple: a fixed monthly fee of $299 gets you access to all the features you need to connect with investors. If you're looking for a longer-term subscription, you'll pay $2990 per month. For comparison, Fundrise takes a percentage of your investment earnings, making EquityNet's flat fee a more attractive option.

Here's a breakdown of the key pricing points:

EquityNet's pricing structure is straightforward and competitive. You can set up an account for free and publish your business profile, but you won't be able to contact investors or use all of the features of the business plan software.

The fixed monthly fee for a paid subscription is $299, which is a great offer compared to competitors like Fundrise that take a percentage of your investment earnings. This fee gives you access to all the features you need to connect with investors and raise funds.

The application process is relatively easy, but the hard part is connecting with investors and raising funds. EquityNet states that some businesses receive funding in days or weeks, while others may spend one year or longer in an attempt to raise funds.

Here are the services you'll get with a paid subscription:

EquityNet holds five patents in the areas of enterprise analysis, crowdfunding marketplaces, enterprise monitoring, and enterprise risk quantification, which speaks to the effectiveness of their service.

EquityNet's pricing structure is quite straightforward. You can set up an account and publish your business profile for free, but you won't be able to contact investors or use all of the features of the business plan software.

To access more features, you'll need to subscribe to a paid plan, which costs $299 per month. If you opt for a longer-term subscription, the monthly fee remains the same at $2990.

EquityNet is a subscription service, not a broker-dealer, so it doesn't directly facilitate the exchange of funds. Instead, it provides a platform for businesses and investors to find each other, and investments are made offline by the parties themselves.

Here are the terms and fees for EquityNet's crowdfunding campaigns:

As you can see, EquityNet doesn't charge a platform fee or payment processing fee since it doesn't handle funds itself. However, to get the attention of deep-pocketed investors, you'll need a paid subscription to the service.

The Starter plan is a great option for businesses looking to get started with EquityNet. It's completely free, which is a nice bonus.

You can create and publish a profile on EquityNet with the Starter plan. This will help you get your business out there and visible to potential investors.

The plan also includes public crowdcasting, which is a fancy term for emailing your business profile to your social media and email contacts. This can help you reach a wider audience and potentially attract some investors.

Additionally, the Starter plan allows you to view the investor network, which can give you an idea of who's out there and what they're looking for.

You'll also get dedicated customer support, which is always a plus.

EquityNet is included in 1 Expert Collection, including SMB Fintech, which highlights the company's presence in a notable technology space.

The EquityNet business plan software allows you to fill out information step-by-step, with regular hints and notes to explain different sections.

You can include information on your products and services in one input section, and the software will compare your business to other companies.

Expert Collections are analyst-curated lists that highlight the companies you need to know in the most important technology spaces. EquityNet is included in 1 Expert Collection, including SMB Fintech.

The number of items in each Expert Collection can vary, but some collections have hundreds of companies. 355 items are listed in the collection that includes EquityNet.

Having a curated list of companies can save you time and effort in researching potential investments or partners.

The EquityNet business plan software makes it easy to provide information about your company in ten input sections.

You can start by filling out the sections step-by-step, and the software will regularly provide hints and notes to explain each section.

The software includes excellent finance tools, making it a great option even if you don't have a strong financial background.

You must include information on your products and services in one input section, after which the software will compare your business to other companies.

Entrepreneurs and investors alike have been satisfied with the EquityNet crowdfunding platform.