Cofolio’s mission is to connect small business owners looking for expansion capital with local investors, allowing anyone to build their own community portfolio.
The Cofolio investment process works like this:
- Business creates a Cofolio profile including reason for funding, amount requested, and other general information
- Cofolio sends a marketing kit to the business in order to advertise the new investment opportunity to the local community
- Community investors click I’m Interested and submit a refundable deposit including a non-binding letter of intent.
- Once enough interest is generated, the business works with an independent valuation company to determine appropriate pricing.
- Cofolio approved lawyers finalize the prospectus terms as investors send funds to an escrow account.
- The deal is done! The business receives the capital and investors are on their way towards building a community portfolio!
Cofolio works on a simple pricing schedule. Companies listing on Cofolio are charged a $50 monthly listing fee. Currently the platform is 100% free to a limited number of beta users!
External third party costs such as valuation, lawyer fees, and escrow services will depend on the circumstances of the business and the amount of capital being raised. Companies may choose to work with Cofolio’s preferred network of providers or use their own partners.