Let’s be real
There are a million and one things “traditional” startup investors do when they invest in a startup. We’re talking “get the lawyer on the phone again”-type stuff. This involves stacks of papers, countless meetings, and nights standing at a window, looking out and pondering what the future holds.
At Republic, we’re not “traditional” by any means.
Our ace due diligence and compliance teams endure the bulk of those meetings, paperwork signings, and late-night existential quandaries so you don’t have to. This removes all but three steps in the startup investing process.
Step one: Choose a startup
This might seem simple, but it’s the most important step in the process.
Each company on Republic is up front with facts, figures, and important documents to help you make an informed decision. Yet this part still requires a tad bit of combing through those things before you press “Invest.”
TL;DR: Do your research. Pretty please.
Step two: Invest
So you’ve found a startup to invest in. Congrats!
Now, you just need to put in your payment information and voila! You’re a startup investor.
Feels good, right? Perhaps consider doing it again and diversifying your startup portfolio.
Step three: Wait
Patience is key when investing in startups. These are long-term investments we’re talking about, so you can’t make a return until the company reaches gets bought, merges, goes public, and other “exit events” that take a while.
They’re also not guaranteed, like your Savings account. If a company doesn’t succeed, you’re out of your investment. (As you probably already know, this is one of the risks involved in startup investing.)
Yet investing has many rewards, which is probably why you're reading this in the first place. If a startup succeeds and has an exit event, you will be entitled to cash, shares, or digital assets, depending on the investment contract.
For example, investors who lent money to Mitte during its campaign on Republic (ending in May) received a 1.5X return when the company successfully repaid the debt, with full interest a few months later.*
Yes, it’s that easy
You don’t need a lawyer to gin up the documents.
You don’t need a Bloomberg terminal to see financial statements. They are in the Form C.
You should consult with your tax professional or accountant, and you should do that for every financial transaction.
But that’s the gist of investing in a startup on Republic.