There's a plethora of startups in Colorado and they're all in various stages of growth. With that growth comes the need for capital to hire more employees, increase marketing, boost sales, launch new initiatives, etc. Denver's Colorado Capital Congress PCB (Public Benefit Corporation) is trying to address those needs. It will host a workshop,
Crowdfunding Colorado Style, Jan. 31 in Louisville to help entrepreneurs and investors understand more of their options for raising funds.
"In an industry where it is considered acceptable for over 95 percent of capital presentations to be turned down, any improvement will have tremendous positive impact on our economy," says Karl Dakin,
Colorado Capital Congress co-founder and president. "Higher quality capital transactions will make our State more attractive to both entrepreneurs and investors."
The organization is working to foster local capital communities helping businesses find appropriate capital sources. The stated goal: "Where no source exists, the Colorado Capital Congress will work to establish new funds or financing programs."
Sometimes that's just a matter of awareness. "One of the ways to improve the capital ecosystem is to make everyone aware of different approaches to obtaining and funding capital," Dakin explains.
"One approach is the little known Limited Registration Offering," Dakin says, which allows companies to raise funds in a way that is exempt from SEC regulations because it is an in-state sale of securities that can only be conducted between Colorado residents or entities. The law requires that the offering can't be publicized and can only be promoted to people and entities that the offering party knows. In addition, only 35 non-accredited investors can participate.
Contact Confluence Denver Innovation & Jobs News Editor Chris Meehan with tips and leads for future stories at chris@confluence-denver.com.
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