Could Regulated Investment Crowdfunding Replace Private Equity for Hospital Ownership?
A recent headline in the Boston Business Journal read "Private equity acquisitions of hospitals are bad for patients, Harvard study finds"
Here's a link to the original article: https://www.bizjournals.com/boston/news/2023/12/26/private-equity-hospital-harvard.html
The key finding was "A new study from Harvard Medical School found that private equity acquisitions of hospitals led to worse outcomes for patients."
Some of the online comments on LinkedIn about this article read:
"Why would that surprise anybody. Private equity does not care about patient satisfaction, quality of care outcomes, or adverse event. They care about the bottom line and they need to make a profit so they will do everything to make a profit without any thought of the patient or the physician."
"Of course, a study wasn't required to state the obvious! A special place in Dante's Inferno 9th circle of HELL exists for predatory private equity firms and those in the C-suite who enable them. It's all about lini...more
Unlocking Growth: How Customer-Shareholders from Crowdfunding Can Boost Lifetime Value and Enterprise Value
Increasingly, companies are turning to Regulated Investment Crowdfunding as a strategy to raise capital and convert their customers into investors or “investomers” as many have coined the phrase. As companies consider this business strategy, it’s important they understand the concept of Lifetime Value (LTV) and its impact on Enterprise Value (EV). LTV, short for Lifetime Value of a Customer, quantifies the total revenue a business can expect to earn from a single customer throughout their entire relationship with the company. EV, on the other hand, represents the total value of a business, including its debt and equity. These crucial metrics help businesses assess their long-term profitability and overall worth.
Investment Crowdfunding is not only a way to enhance LTV but also a way to drive up EV. I recently read a white paper by the company Dealmaker entitled “The Bottom-Line Value of Turning Customers into Shareholders” which cited research and s...more
DeRosa Group: CfPA Crowdfunding Issuer Interview Series
The DeRosa Group is a family-owned business that invests in residential and commercial properties, with a mission of "Transforming Lives Through Real Estate." It was founded by Matt and Liz Faircloth in 2004. Their journey began with the purchase of a modest duplex just outside of Philadelphia, fueled by a $30,000 private loan. Since then, they have mastered the art of optimizing properties for their highest and best use, revolutionizing single-family homes, multi-family residences, apartments, mixed-use spaces, and retail outlets, as well as offices. This interview was conducted with Herve Francois.
INTERVIEW
CFPA: Can you tell us a little bit about your company? What does your company do and at what stage is it?
Herve Francois: DeRosa Group is a real estate investment company that invests in large multifamily apartment complexes. Our motto, "Transforming Lives Through Real Estate" is all about improving the living situation of our tenants by providing them an attractive plac
Decoding the Alphabet Soup of Investment Crowdfunding
The investment crowdfunding landscape can be confusing.
And one of the main reasons it's so confusing is because many of the key terms and labels were created by lawyers and legislators, who aren't really known for their ability to keep things simple.
That means navigating and deciphering the nearly inscrutable alphabet soup of the relevant crowdfunding regulations, rules, laws, and requirements is about as much fun as …. well, navigating and deciphering an alphabet soup of laws, rules, and regulations.
So before trying to parse the fine print of crowdfunding regulations, here’s some overall context that should help.
In 2012, the Jumpstart Our Business Startups Act (get it? “JOBS”? Isn’t that clever…) was signed into law, and it did two important things:
- Amended the Securities Act of 1933 (that's the set of laws passed after the 1929 stock market crash)
- Required the SEC to update several of its Regulations
It’s helpful to think about crowdfunding regulations...more
Reg CF and Reg A Industry Summary - April 2023
In April 2023, the online startup investing market (Reg CF and Reg A) experienced a slight downturn, with a total of $48.3 million committed across equity and debt deals, compared to $82 million in March. Wefunder maintained its position as the top platform for dollars invested, with $20.2 million coming from equity Regulation Crowdfunding (Reg CF) offerings.
The most popular industry for the month was Business Services, Software, and Applications, which attracted $8.2 million from Reg CF equity offerings. A total of 243 equity deals closed in April, consisting of 238 Reg CF deals and five Regulation A deals.
However, the number of new deals going live saw a decline, with only 103 new deals in April, down from 146 in March. Despite this slowdown, online startup investing remains an essential avenue for businesses to secure funding and for investors to discover promising opportunities.
For detailed monthly analytics covering the Reg CF and Reg A markets, check out KingsCrowd's market an...more
Boxabl: CfPA Crowdfunding Issuer Interview Series
Boxabl is an American housing construction technology company based in Las Vegas, Nevada. It was founded in 2017 by Paolo Tiramani, Galiano Tiramani and Kyle Denman to supply accessory dwelling units (ADUs). It is among the most successful companies to have benefited from regulated investment crowdfunding having raised over $160 million. This interview was conducted with Galiano Tiramani.
INTERVIEW
CfPA: Can you tell us a little bit about your company? What does your company do and at what stage is it?
GALIANO: Boxabl operates factories that produce a new kind of housing. We have technology that we believe will allow us to mass produce housing on a scale and for a cost that was never before possible. Our goal is to dramatically lower housing costs for the world.
CfPA: What's the market in which you see your company operating?
GALIANO: Our initial product is a small studio apartments. After that we will roll out a system of room modules that stack and
An Open Letter to Dan Snyder – It’s Time to Make Washington Football America’s Team
Dear Dan:
Many of us have read the off-season headlines about the Washington Commanders and that you may - or may not - be holding out for a $7 billion dollar bid to sell the team. We’ve read that you’ve rejected a Jeff Bezos bid around $6 billion and have blocked him from bidding. Other headlines say that he isn’t blocked – it’s all a ploy to keep interest high.
We’ve also read that the NFL league owners will meet, starting on March 26, and it is believed the other owners want you to complete a sale by that time to allow new owners time to take over Washington before the new season begins.
Growing up in central Ohio, I lived in the middle of fan rivalry between the Browns and Bengals – so I wasn’t always a Washington Football fan. But after moving to the DC area, Washington became my adopted team and I learned that people from all over the US felt Washington football belonged to them too. At a family wedding in Florida, a cousin who had spent his entire career as a cop in...more
Would you like to learn more about safely online investing?
The year of trust and compliance is here and we, at KoreConX, are more than happy to share with you what innovations we bring to the market. We will walk you through topics such as cybersecurity, investing online, and how to be sure you are doing it safely and compliantly inside a regulated environment.
Our CRO, Peter Daneyko, has a lot to share about KoreID - with some surprises coming up, with our communications coordinator, Rafael Gonçalves.