RG023 – What Is Crowdfunding? Part 1 With AdaPia D’Errico

Show Notes:

In case you missed it, here are some of the highlights from our conversation with AdaPia d’Errico:

About AdaPia:

  • Italian background born in Canada and lived in 5 countries! A true globetrotter!
  • CMO for Patch of Land – Online Crowd-funding Company;

Something Unrelated to Real Estate Investing:

  • AdaPia is a former intellectual property hunter for large brands!
  • Stumbled across Patch of Land at the first ever real estate crowd-funding conference;

Nuts and Bolts:

What is Real Estate Crowd-funding? and what is the future?

  1. Real Estate Crowd-funding; Started with the idea of people pooling equity to buy a property as a group;
  2. Now it has evolved into syndication investing using the internet to find investors;
  3. Patch of Land pools investors capital together and acts as the senior debt position (i.e.: debt financing for a deal);
  4. How has Title 3 changed the game? Businesses can now raise up to a $1mill from unaccredited investors (no matter your income)!;
  5. Historically business owners could only raise capital from accredited investors only: a person who is worth over $1mill in net worth, or earns over $200k/year, or is in a relationship and the combined income is over $300k/year;
  6. Only 8% of investors are actually accredited meaning only a limited number of investors to investor into U.S. businesses;
  7. Investment limitations of non-accredited investors: you can only invest 10% of you’re your income or net worth;
  8. Where is Crowd-funding headed? The industry has grown 1000% in the past 5 years!
  9. The crowd-funding space in 2016 is similar how the Internet was in the early 1990’s. The changes to the JOBS act is revolutionizing the investor/business owner interface!
  10. Crowd-funding stream-lines the connection between investors and business owners who need capital; educating people on the process is key to the success of this space! Keep your eyes peeled!

Contact AdaPia if you are interested to learn more about the crowd-funding industry!



Ready, Aim, Fire!

Happy Investing!

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