Clarity for startups and backers
Frequently asked questions Your questions answered
Tips for startups and investors
Tell your story with clarity and purpose
Evaluate before you commit funds
Conduct due diligence on potential investments, reviewing project documentation, founders’ backgrounds, and third-party feedback before making a decision.
Update backers regularly and openly
Prepare for compliance from day one
Review the platform’s compliance requirements and ensure all documentation is current—successful campaigns begin with proper preparation and legal readiness.
Glossary
Crowdfunding terms explained
A practical guide to essential crowdfunding and investment terms—explained for clarity and updated with recent industry context. Use these definitions to navigate platform communications, project documentation, and investor materials confidently.
Equity crowdfunding
The practice of raising small amounts of capital from a large number of individuals, usually via an online platform, to support business projects or startups.
Investor participation
A financial contribution made to a startup or project with the expectation of receiving returns, such as dividends or ownership shares, subject to risk and regulation.
Startup company
A newly established business, often in early growth stages, seeking funding, market fit, or community support through innovative approaches.
Crowdfunding platform
The digital infrastructure connecting founders with backers, providing tools for campaign management, compliance, and communication.
Regulatory compliance
Processes and policies ensuring all activities meet legal and regulatory requirements for both Australian and international users.
Disbursement
The act of transferring pledged amounts from investors to project accounts when funding targets are achieved, following all regulatory and platform requirements.
Investment risk
Potential for financial loss or failure associated with investing in or launching a crowdfunding campaign, influenced by market and project-specific factors.
Project reporting
Regular updates and disclosures provided by startups to backers and the platform, maintaining transparency and trust throughout the campaign lifecycle.
Community engagement
The network of founders, investors, and supporters who interact, share insights, and contribute to the growth of startups on the platform.
Due diligence review
The process of investigating a startup’s credentials, business model, and compliance documents before approving a crowdfunding campaign for listing.