How we select campaigns

We carefully evaluate each application we receive and only accept campaigns that meet our strict criteria. Our selection process includes a comprehensive review of the company's business, due diligence, information verification, Know Your Client (KYC) procedures, and a final review by our Investment Committee.

In addition, we invest personally in the campaigns, demonstrating our confidence in the companies we choose to work with.

Initial Screening

Our initial screening focuses on the general idea, team, business model, market potential, and other important factors. We ask ourselves and the company's founders key questions to get to know the business better.

"We choose quality over quantity"

Founders

Perhaps the most important factor when considering an investment in an early venture is the team behind it. We assess whether the team has the necessary experience and knowledge to execute the plan, if they have a strong network to help them open doors in their respective fields, and whether they are competent and capable of delivering results to investors.

Product/Service

We evaluate if there is a real problem that the product or service solves, at what stage of development it is, and whether it uses the right technologies and infrastructure to be scalable and succeed in international markets.

Track Record

We look for any track record in terms of sales or interested clients, evidence in the market that the company has strong traction, and positive reviews about the product or service.

Financial Projections

We analyse the company's burn rate, how long the venture can survive before it needs to raise more capital, whether the unit economics make sense over the long term, and if the valuation is fair for investors.

Market

We consider the current market share, potential market share, and the total size of the target market. We assess whether the target market is growing, if there is existing competition, and whether there are high barriers to entry.

Vision

We examine the long-term vision of the company and whether it makes sense. We look at its core values and if they resonate with the target audience.

Due Diligence

After the initial screening, we conduct thorough due diligence into the company's financials, management team, and market research to verify the information that will be presented to our investors. If necessary, we work with external advisors and partners to assist us.

Verification of Information

We request supporting documentation to substantiate the company's claims, including but not limited to audited financial statements (where available), management accounts, certificate of shareholders, business plan, website analytics, digital advertising analytics, code review, and memorandum and articles of association.

The type of documents requested can vary depending on the company's age and industry. However, our goal is to confirm, to the best of our ability, that the information presented is fair, clear, and not misleading.

Know Your Client (KYC)

All Directors of the company raising capital with us undergo an identity verification procedure via our third-party identity verification service provider, SumSub. SumSub runs database checks to verify their identity and screens against sanctions lists and politically exposed persons (PEP) lists. We also ask for a clean criminal record of all Directors, issued by the relevant authority.

Valuation

Valuing startups can often be more of an art than a science due to the highly uncertain nature of the business. We use certain frameworks and parameters that allow us to make a reasonable estimate of the company's value and potential, ensuring the investment opportunity is fair for investors.

Final Decision

Once all the information is collected and verified, our Investment Committee decides whether to approve the company to raise funds on Crowdbase. The Investment Committee consists of both internal staff of Crowdbase and external advisors who offer insights in their areas of expertise.

The Investment Committee consists of both internal staff of Crowdbase and external advisors that can offer their insights in their area of expertise.

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