Have you recently made an investment on the Equifund platform and you’re wondering what’s happening?
In this guide, you’ll learn how to view the status of all of your current investments, how long it takes for investments to be processed, and what to do if something doesn’t look right.
Before we go too much further, let’s do a quick, high level overview of how the entire investment process works, from beginning to end.
Step 1) Subscription Agreement Signed
The investor signs (and submits) all required documentation, which includes Personal Identification Information (PII) required for all “Know Your Customer” (KYC) and “Anti-Money Laundering” compliance protocols.
If the information provided doesn’t match the information on file in the KYC/AML database, you will be contacted by customer service who will ask you for additional documentation
Step 2) Funds Remitted & Cleared
Once you’ve signed your subscription agreement, now you need to send payment for your shares via ACH, Credit/Debit Card, Wire, or by mail via check/money order.
Clearing times are as follows:
- ACH – 10 calendar days upon receipt of funds
- Wire – 24 hour hold upon receipt of funds
- Credit Card – 24 hour hold upon receipt of funds
- Check – 10 calendar days upon receipt of funds
Step 3) Subscription Agreement is Executed
Once the funds have cleared escrow and all KYC/AML checks have passed, now the company raising money (the “Issuer”) has to sign their side of the subscription agreement.
Step 4) Settlement
Once the Issuer has signed the Subscription Agreement, three things now happen…
- The Issuer receives the money in escrow.
- The investor will receive the Executed Subscription Agreement via the email specified in the original Subscription Agreement.
- The Transfer Agent records your shares in “Book Entry.” a method of tracking ownership of securities where no physically engraved certificate is given to investors.
A Transfer Agent works for the Issuer to record changes of ownership, maintain the issuer’s security holder records, cancel and issue certificates, and distribute dividends.
Transfer Agents are required to be registered with the SEC, or if the transfer agent is a bank, with a bank regulatory agency.
In some cases, Issuers will manage this process themselves during the campaign. However, it is Equifund policy that all Issuers must demonstrate their ability to competently manage a capitalization table – or otherwise engage a Transfer Agent – prior to the close of the offering.
Please keep in mind that once your transaction has been executed, it is final and cannot be refunded for any reason!
Also, if you need to change any information – like name, address, or phone number – Equifund cannot update that information for you. You will need to contact the transfer agent to make any changes (for more information on this, please see our guide “How to Retitle Your Pre-IPO Shares).
That’s why it’s important to have your investment profile set up – with the right information – to ensure your shares are assigned correctly.
Assuming all that is correct, here’s how to view the status of your investments.
Your Equifund Portfolio Tools
After making an investment, please navigate to the “My Portfolio” dashboard in your member portal by using this link: https://invest.equifund.com/portfolio/investments
You will see three tabs: Investments, Pending Transactions, and Transaction History
Transaction History will show a complete record of every transaction you have made on the platform. You’ll be able to view the investment amount, date of investment, KYC status, the investment status, and payment method.
The status column can show one of several values.
- Canceled: The transaction has been canceled
- Rejected: The transaction was rejected by escrow and/or compliance
- Pending: Your investment order has been received but payment is currently being processed and sent to escrow.
- Payment Received: Payment has been received in escrow
- Complete: The transaction has been completed and shares have been issued
Here is a sample of what your transaction history could look like:
If the investment stats show “pending,” it will also be displayed under the “Pending Transactions” tab. If so, you will see an orange triangle icon with an “!” next to it.
Here’s what this might look like:
If you click the “See Details” screen, you will be taken back to the investment confirmation page.
If for any reason you need to change your payment method, the easiest and fastest way to do this is by canceling your pending transaction and submitting a new order.
To do this, all you need to do is click the “cancel transaction” button at the bottom of the page (see below).
If the offering is oversubscribed – or you otherwise cannot cancel the transaction – please email [email protected] for assistance.
If the status of your investment is “payment received” or “compete”, it will now display in the “Investments” tab.
Here’s what this might look like:
Please keep in mind that just because something shows in your “Investments” tab doesn’t mean your shares have been issued.
In order for that to happen, the company raising money (the “Issuer”) has to countersign the subscription agreement.
To see the status of this, please go to the Documents tab in your profile.
If the status says “Awaiting Another Signature”, this means the Issuer has not yet countersigned the agreement.
Please keep in mind that in order for the Issuer to sign the subscription agreement, funds must be cleared in escrow and the investor must pass AML/KYC.
This can take 1-4 weeks depending on a variety of factors.
For this reason, the Issuer will often sign subscription agreements in batches. This is done at the discretion of the Issuer.
What if I’ve made an investment and I don’t see it in any of these tabs?
We understand that when it comes to your investment capital, you want to know exactly where it is and what is happening with your order.
If funds have not been withdrawn from your funding method (i.e. your credit card or bank account) and it is not displayed correctly in your My Portfolio dashboard, it is likely due to an error with your order.
The most common reason for order failure is due to a credit card being declined by the payment gateway or otherwise being flagged by your bank.
If this is the case, the easiest (and often quickest) way to solve the problem is to cancel your transaction by going to the “Pending Transactions” tab and submit a new order with a new payment method.
You can also try calling your bank and asking them to remove the restriction on your payment method – or otherwise approve the transaction – and submit a new order with the previously rejected payment method. If that still doesn’t work, please use a different form of payment.
If funds have been withdrawn from your funding method and it is not displaying correctly in your My Portfolio dashboard, please do not panic! It is likely an easily fixable issue.
If funds have been withdrawn and your investment isn’t being displayed at all in any of the tabs of your portfolio, please contact support and we will be happy to assist you.
In the event there is a duplicate charge, please do not call your credit card company and issue a chargeback. You can cancel the transaction yourself or we can cancel it for you. Any chargeback requests will only add unnecessary delays to the refund process.
Your early-stage experts,
Equifund.com
