Thinking about investing in a startup? A lot of people are attracted to startup investing – who wouldn't want to be an early investor in companies like AirBnB, Spotify or Google? With equity crowdfunding, startup investing is finally available to everyone.
However, the process can still be overwhelming to many. How do I start investing in startups? How much can I invest? Where do I find a startup to invest in? How do I select the right startup for my investment?
The following infographic tackles the question "How do I start investing in startups?".
Stay tuned for more resources about startup investing!
This educational article is provided by Republic to help its users understand this area of the market, it should not be construed as investment advice as it is impersonal, disinterested and was produced by Republic for Republic’s users, without remuneration received or expected.
How do I start investing in startups?
Why do you want to invest?
- I’m into low-risk investing
- To get rich quick
- To diversify my portfolio
-> Investing in startups is high-risk, and can take years before you see any returns
- To support founders I believe in
- To be involved in tech
-> All great reasons! How much are you looking to invest?
- $25,000 or more at a time
-> Do you have the expertise, time, and network to find and evaluate deals?
Yes? You can be an investor on any platform, or be an independent angel investor.
- At least $1,000 at a time
- I want to invest as little as $10
-> Have you made at least $200K/year the last 2 years, and/or do you have over $1M in net worth?
Yes? -> Sounds like you’re an accredited investor! You can invest on any platform.
No? -> You can invest in startups via equity crowdfunding platforms.