Founded: 2012 (Not yet launched)
Country: United States
Non-Accredited Investors: Yes
Business Selective: Yes
Investor Selective: No
The traditional process of getting a business’s initial public offering to the open market involves a lot of middlemen. Banks are the first to buy the shares. Then they sell them to institutional/sophisticated investors. Then those investors flip them to regular retail investors on the open market. In 2012, Simon Erblich launched IPO Village as a way to circumvent that price-raising process by letting “the Crowd” invest directly in IPO shares for new businesses.
Due to the investment regulations of pre-JOBS Act American law, IPO Village is not actually operational yet. It will use a traditional ECF “all or nothing” system; if the IPO is fully fundraised, the investors become shareholders in the company. If not, the money is returned to them. The site has a bright future ahead of it based on its pre-launch accomplishments, which include raising $1 million in pledged fundraising for its first IPO. This exciting new variation on the equity crowdfunding portal expects to launch its first IPO this fall.