Sō.Capital and LawCloud partner to bring new funding options to startups under a pending novel regulatory framework
FOR IMMEDIATE RELEASE
October 20, 2020
ANNAPOLIS, MARYLAND – Sō.Capital, a global crowdfunding community and marketplace, announced today that it has partnered with LawCloud, a New York-based legal technology company, to launch TheSō.Co, a new type of crowdfunding platform designed to help founders broadcast their capital raising stories and access capital. The launch is heavily tied to the U.S. Securities and Exchange Commission’s recently proposed changes to its communication rules, set to be adopted in the coming months, which will greatly expand the opportunity for entrepreneurs to actively gauge the interest of potential investors, including retail investors, at the earliest and most crucial stages of their capital raising journey.
Earlier this year, the SEC proposed sweeping changes to the ways in which companies raising capital can communicate with potential investors in exempt securities offerings, including through the use of broad-based solicitations of investor interest, such as through “testing the waters” and “demo days” communications. TheSō.Co will be the first platform to launch under the revised regulatory framework, providing startups with an invaluable tool as they learn more about crowdfunding, refine their capital raising pitches, discover and build their capital networks, and determine if capital raising is the right fit for them.
The easy-to-use platform will allow companies to create capital raising campaign pages (or pitches) that they can embed on their websites, share with customers, contacts, TheSō.Co and Sō.Capital’s website participants, and on social media in order to gauge the interest of and get invaluable feedback from the crowd. Companies can use this interest and feedback to determine whether to launch a campaign and, if so, where to do so and on what terms. In addition, companies posting campaigns on TheSō.Co will receive access to a suite of educational materials and high-quality service provider partners, like LawCloud, that are focused on helping small companies succeed.
Zachary Fallon, CEO of Sō.Capital, said: “We are building an online capital raising training and proving ground, the likes of which—for regulatory reasons—has never existed before. As a former regulator focused on helping small companies raise capital, and as an entrepreneur who has himself raised capital from investors, I not only understand the rules of the road, but also the importance of crafting a refined capital narrative in the search for investors. TheSō.Co will help companies to compliantly succeed in their journey to capital discovery.”
“The partnership with Sō.Capital in TheSō.Co will not only help entrepreneurs and small companies to activate customer lists and social networks to determine interest in a potential capital raise but will provide them with free legal and related documentation and services from LawCloud. We are excited to be able to provide companies contemplating a crowdfunding offering with complimentary access to our site and its various legal tools for small companies,” said Michael Knox, CEO of LawCloud.
Sō.Capital is the free, easy way to discover capital online. Founded in 2019, Sō.Capital is your entry point into the world of capital raising online. The platform brings together over 50,000 capital raising campaigns from over 30 crowdfunding sites worldwide to make the process of capital discovery free, fun, and easy. With over 160,000 followers, Sō.Capital is a diverse, educated, and engaged global capital raising community. Website: https://so.capital.
LawCloud, previously known as iDisclose, was founded in 2015, and is an industry leading platform in the crowdfunding and legal disclosure space with major contracts with law firms as well as funding platforms such as Water Works Funds, Title3Funds, MicroVentures, and FundMe. In addition, LawCloud offers legal document solutions for all small businesses, including regulatory documents, deal documents, HR documents and other business documents. For more information about LawCloud, visit their website at https://LawCloud.co.
For media inquiries, contact Zachary Fallon, firstname.lastname@example.org.
2 thoughts on “First-of-its-kind Crowdfunding Platform TheSō.Co Launches Ahead of SEC’s Proposed Rule Changes for Startups”
This is a very exciting time in the capital formation space as the SEC examines and makes the needed adjustment to its rules moving forward to make this wealth-building and capital tool a more effective and efficient process. As we continue to emerge from the COVID-19 crisis crowdfunding and the new regulations will be vital for local economies to grow businesses.
Thank you, Bill! We completely agree and look forward to working together to make the rules they adopt work in practice. As you know, it takes a village!