EquityNet is a

crowdfunding Crowdfunding is the practice of funding a project or venture by raising money from a large number of people, typically via the internet. Crowdfunding is a form of crowdsourcing and alternative finance. In 2015, over was raised worldwide by crow ...

platform that helps privately-held companies raise capital from accredited investors. Founded in 2005, the company is headquartered in Salt Lake City, UT.

Model

EquityNet has operated one of the largest business crowdfunding platforms since 2005. The multi-patented EquityNet platform is used by thousands of individual entrepreneurs and investors, incubators, government entities, and other members of the entrepreneurial community to plan, analyze, and capitalize privately held businesses. EquityNet provides access to thousands of investors and has helped entrepreneurs across North America raise more than $500 million in equity, debt, and royalty-based capital. The company is not a registered

broker-dealer In financial services, a broker-dealer is a natural person, company or other organization that engages in the business of trading securities for its own account or on behalf of its customers. Broker-dealers are at the heart of the securities and d ...

and thus is not involved in the transfer of funds. Upon the

U.S. Securities and Exchange Commission The U.S. Securities and Exchange Commission (SEC) is an independent agency of the United States federal government, created in the aftermath of the Wall Street Crash of 1929. The primary purpose of the SEC is to enforce the law against market ...

’s decision to lift the ban on general solicitation on September 23, 2013, EquityNet allowed businesses on its platform to use the new SEC rule and publicly advertise their need for funding. As of 2020, EquityNet is majority owned by C9 Capital, a private equity firm based in Cedar Rapids, IA, and was primarily based out of Salt Lake City, Utah.

Intellectual Property

EquityNet owns a portfolio of five granted

patents A patent is a type of intellectual property that gives its owner the legal right to exclude others from making, using, or selling an invention for a limited period of time in exchange for publishing an enabling disclosure of the invention."A p ...

that describe and claim various crowdfunding technologies, all of which are based on its priority patent application in 2005 before the word “crowdfunding” was first used. EquityNet’s patents include U.S. Patent 7,698,188 titled “Electronic Enterprise Capital Marketplace and Monitoring Apparatus and Method”; U.S. Patent 7,908,194 titled “Electronic Enterprise Analysis Apparatus”; U.S. Patent 8,484,110 titled “Electronic Enterprise Monitoring Apparatus”; U.S. Patent 8,793,170 titled “Electronic Enterprise Capital Marketplace Apparatus and Method”; and U.S. Patent 8,793,171 titled “Electronic System for Analyzing the Risk of an Enterprise.” EquityNet’s five patents describe a range of inventions within the private business domain for crowdfunding marketplaces, enterprise analysis, enterprise risk quantification, and enterprise monitoring.

Awards and Recognitions

In April 2012,

Forbes ''Forbes'' () is an American business magazine owned by Integrated Whale Media Investments and the Forbes family. Published eight times a year, it features articles on finance, industry, investing, and marketing topics. ''Forbes'' also re ...

Magazine named EquityNet as one of "10 Companies Poised to Profit from the JOBS Act." In August 2012, Worth Magazine named EquityNet as one of its Top 10 Crowdfunding Sites. In January 2013, Crowdfunding Website Reviews included EquityNet in its "5 Equity Crowdfunding Sites to Watch in 2013."

References

{{Crowdfunding platforms Equity crowdfunding platforms Crowdfunding platforms of the United States