In 2019, the United States saw a huge number of small businesses, with 30.7 million of them. These businesses employed 47.3% of the private workforce. The top industries were health care, accommodation and food services, and retail. This growth has opened up a chance for everyday investors to help their local communities.
Mainvest, started in 2018, is at the forefront of community-driven investing. It connects small businesses with investors, letting people support local businesses they love. Investors can earn returns of 10-25%.
Mainvest wants to make investing easy for everyone, not just the wealthy. With a minimum investment of $100, anyone can help local small businesses grow. This is especially important for women and minority entrepreneurs who often face bias in traditional investing.
Key Takeaways
- Mainvest connects small businesses with a community of investors, enabling everyday individuals to support local enterprises.
- Investors can earn potential returns of 10-25% by contributing as little as $100 to Mainvest-supported businesses.
- Mainvest’s mission is to democratize impact investing, providing a platform for anyone to invest in and support their local economy.
- The platform aims to address the funding challenges faced by women and minority entrepreneurs, who often encounter bias in traditional investment settings.
- Mainvest ensures that if a business’s minimum investment needs are not met, investors will receive their money back, while successful fundraising leads to future revenue payments.
What is Mainvest?
Mainvest is a top investment platform that lets people invest in local businesses across America. It aims to boost local economies and help communities grow by linking Main Streets with investors who care about their neighborhoods.
Mainvest’s Mission and Vision
Mainvest wants to make local economies stronger and give community members a chance to invest in their favorite businesses. It makes it easy for anyone to help their neighborhood businesses thrive, from small bakeries to unique restaurants.
How Mainvest Facilitates Local Business Investing
Mainvest has helped over $100 million in community capital reach local businesses. It offers different investment options like debt and equity securities. This lets investors support their local economies in various ways.
Mainvest is all about being open and responsible. It checks each business carefully to make sure they’re stable, well-run, and make a positive impact. This has built a community of over 30,000 investors who have backed more than 450 businesses nationwide.
| Key Statistics | Value |
|---|---|
| Total Funding Raised by Businesses on Mainvest | Over $100 million |
| Number of Businesses Funded on Mainvest | Over 450 |
| Mainvest Investor Community | Over 30,000 |
| Minimum Investment on Mainvest | Typically $100 |
Mainvest helps people invest in their local communities. This is key to supporting small businesses, which are vital to the American economy.
Key Benefits of Investing with Mainvest
Investing with Mainvest has many benefits for those looking to grow their money and help their community. By investing in small businesses, you could earn returns of 10% to 25%. This is a great way to make money and make a difference.
Mainvest is known for its careful checking and focus on social impact. They look into each business’s background, finances, and growth potential. This ensures that the businesses you invest in are solid choices.
Mainvest also supports women and minority-owned businesses. This helps create a more inclusive economy. More people want to invest in ways that also help society, making Mainvest a great choice.
By investing in local businesses, you’re helping your community thrive. Mainvest helps small businesses get the money they need. This leads to more jobs and a stronger economy.
Investing with Mainvest is more than just about making money. It’s about helping businesses and communities grow. By choosing Mainvest, you can earn good returns and make a positive impact.
| Key Benefit | Impact |
|---|---|
| Attractive Investment Returns | Potential returns ranging from 10% to 25% |
| Risk Mitigation | Rigorous vetting and continuous monitoring by Mainvest |
| Promoting Economic Inclusion | Funding for women-led and minority-owned businesses |
| Supporting Local Economies | Strengthening the fabric of the community through job creation and economic development |
“Investing with Mainvest allows me to not only earn potential returns, but also make a tangible difference in my local community. It’s a win-win for both my portfolio and the businesses I’m proud to support.”
How Mainvest Vets Businesses
Mainvest is a leading platform for investing in local businesses. It has a strict vetting process to make sure businesses are trustworthy. This process protects investors and helps businesses succeed over time.
Responsibility Check
Mainvest checks how well business owners communicate and share financial details. They make sure owners are open and give accurate info to investors. This builds trust between investors and entrepreneurs.
Bad Actor Check
The Mainvest business vetting also looks for any bad history in the owner’s past. This includes criminal records or financial wrongdoings. This step keeps investors safe and keeps the platform honest.
Yellow Flag Check
Mainvest also looks at minor issues, like traffic tickets or small lawsuits. This ensures a full view of a company’s history and possible problems. It’s part of Mainvest’s thorough due diligence.
Continuous Review
Mainvest doesn’t stop at the initial check. It keeps a close eye on businesses for new issues or changes. This ongoing watch helps keep the Mainvest community safe and strong.
This detailed Mainvest business verification process makes sure funded businesses are reliable and set for success. It keeps investors safe and helps local economies grow.
Mainvest’s Social Underwriting Approach
Mainvest doesn’t just look at financials when you invest. It uses a special “social underwriting” method. This means businesses need to get at least $10,000 from 10 people they know well. This ensures they have strong community support, making them more accountable.
This method leads to better returns and less default risk. It connects businesses with a community that cares about their success. Mainvest aims to boost local investing and help small businesses thrive by doing this.
| Key Statistics | Figures |
|---|---|
| Investors within 5-mile radius | 85% |
| Mainvest Founded | 2018 |
| Funds Raised to Date | $3 million |
| Business Focus | Brick-and-mortar cash flow generating businesses (restaurants, breweries, hair salons, escape rooms) |
Mainvest’s social underwriting model builds a strong, supportive mainvest investment community. It’s all about investing in the success of mainvest local investing opportunities. This approach makes Mainvest stand out in the world of crowdfunding and investing.
Success Stories: Businesses Funded on Mainvest
Mainvest has helped fund a wide variety of businesses. These include breweries, bakeries, specialty grocery stores, and restaurants. Mainvest success stories show how the platform supports local businesses and boosts growth in communities.
Ghostface Brewing in North Carolina got $150,000, more than its $50,000 goal. Great Scott, a music venue near Boston, raised $192,700 to keep its lease and pay rent during the pandemic. Thanks to Mainvest, these businesses are doing well.
“Mainvest’s platform allowed us to connect with local investors who believed in our vision and wanted to see our business succeed. Their support was crucial in helping us expand and weather the challenges of the pandemic.”
Mainvest’s success stories highlight the strength of community-driven investments. By linking local entrepreneurs with supporters, Mainvest has helped businesses grow. This strengthens the economic life of their communities.
Types of Businesses on Mainvest
Mainvest’s platform offers a wide range of local businesses. These include cozy bakeries, craft breweries, yoga studios, and unique grocery stores. Investors can help these businesses grow and thrive.
Consumer and Amenity Businesses
Mainvest has many investment options for consumer and amenity businesses. You can invest in restaurants, cafes, and fitness centers. There are also specialty retail stores and independent bookshops.
Minority and Women-Led Businesses
Mainvest supports minority-owned and women-led businesses a lot. These businesses get funding and investment help. This helps entrepreneurs grow and boost the local.
Investing in a family bakery, a women-led studio, or a minority-owned grocer helps the local economy. It also offers a chance for good returns.
Investment Structure and Returns on Mainvest
Investing with Mainvest means joining a revenue-sharing agreement. You get a share of the business’s gross earnings, usually 1% to 9%. This share lasts for 4 to 6 years. Investors can expect returns of 10% to 25% on their money, and businesses aim to raise $15,000 to $100,000.
Mainvest’s platform is clear about the investment structure and repayment terms for each business. This helps investors make smart choices. Mainvest uses a revenue-sharing model to link investors and small businesses. This way, everyone works together for the best results.
| Investment Structure on Mainvest | Typical Investment Returns |
|---|---|
| Revenue-sharing agreement (1-9% of gross earnings) | Target returns of 10% to 25% for investors |
| Repayment period of 4 to 6 years | Campaign targets of $15,000 to $100,000 for businesses |
Mainvest wants to build a strong, win-win investment world. They make sure investors and small businesses work together. This way, investors can back local businesses they believe in. And they could see good returns on their money.
Mainvest’s Role in Local Economic Development
Mainvest is key in boosting local economies by investing in Main Street businesses. It creates a “closed-loop capital ecosystem” that keeps money in the community. This helps small businesses, especially those owned by minorities and women, get the funding they need to grow.
Supporting Local Economies
Main Streets have seen a big jump in job creation in recent years. But, the drop in home ownership has made it harder for entrepreneurs to get small business loans. Mainvest offers a new way to finance businesses through crowdfunding, thanks to the JOBS Act.
Addressing Funding Challenges for Small Businesses
The Jobs Act of 2016 opened up new ways to fund small business loans through crowdfunding. Mainvest’s model lets investors earn a share of a company’s revenue, making it a popular choice. It also lets both accredited and non-accredited investors help local businesses succeed.
Mainvest’s team knows the local market well and is ready to grow nationally. They focus on community support and careful checks to ensure sustainable growth in local economies.
“Mainvest’s innovative approach to crowdfunding and dedication to local economic development has been widely recognized in the industry.”
How to Get Started with Mainvest
Investing with Mainvest is easy and opens up local business investing to many people. It doesn’t matter if you’re new to investing or have lots of experience. Mainvest offers a simple platform to help you support the businesses you believe in.
To start, just sign up as a Mainvest investor. It’s fast and only needs basic info about you and your finances. After signing up, you can look at the different investment options. Each option will show you details about the business, its owners, financial info, and how you’ll invest.
One great thing about Mainvest is that you can start with just $100. This makes it easy for newcomers to try investing. Mainvest offers revenue-sharing deals, which could mean returns of 10% to 25% a year. But remember, these returns aren’t guaranteed.
Mainvest checks each business carefully before listing it. This means you get to choose from a list of high-quality businesses. You can look at their finances, business details, and who owns them. This helps you make smart choices about where to put your money.
To start with Mainvest, just go to their website, make an account, and check out the investment options. Mainvest focuses on helping local businesses and could offer good returns. It’s a great way to make your investments count.
Mainvest’s Competitive Landscape
Mainvest is not alone in helping investors support local businesses in the U.S. Platforms like Milk Money Vermont and LocalStake also connect investors with local shops. But Mainvest stands out with its wide reach, strict checks, and support for diverse entrepreneurs.
Platforms like TinySeed and Capital Access Lab offer funding for businesses, investing from $50,000 to $600,000. But they usually back bigger businesses. Mainvest focuses on helping a wider range of local businesses grow.
Since starting six years ago, Mainvest has supported entrepreneurs in raising $38 million. This money has helped businesses in Massachusetts and New England. Other platforms like Wefunder and Netcapital have raised around $750 million and $65 million, aiming for bigger businesses.
Mainvest is facing funding issues and will close in June 2023. Yet, the demand for local investment is growing. Mainvest’s way of supporting local businesses might still attract investors who want to make a difference in their communities.
“Mainvest’s nationwide reach, robust vetting process, and focus on inclusive entrepreneurship set it apart in the competitive landscape.”
Risks and Considerations of Investing on Mainvest
Mainvest aims to help local communities by investing in businesses. But, it’s key to know the risks of this investment. Investing in small, private businesses has its own set of risks. These include the risks of investing with Mainvest, Mainvest investment considerations, Mainvest investment risks, and the need for Mainvest investment diversity.
One big risk is that the business might fail. Small businesses often have few resources and can face sudden problems. For example, losing key staff or needing money fast. This could mean losing your investment money. So, it’s vital to look closely at each investment and spread your money across different businesses.
| Key Risks and Considerations | Mitigation Strategies |
|---|---|
| Business Failure | Diversify investments across multiple businesses |
| Limited Financial Reporting | Carefully review available information and financial statements |
| Illiquid Investments | Understand investment timeframes and exit options |
| Regulatory Changes | Stay informed on evolving regulations and their impact |
Small businesses in crowdfunding often don’t have to share as much financial info as big companies. Investors should look closely at what’s given and the company’s finances. This helps understand the business’s money situation and growth chances.
These investments can be hard to sell early. Investors should be ready to keep their money for the time agreed. Knowing about changes in laws that could affect investments is also important.
Even with the risks, Mainvest’s focus on local businesses and communities offers chances for diversification and returns. By looking closely at each investment and managing risks, investors can make smart choices. These choices should match their investment goals and how much risk they can handle.
“Investing in small businesses allows for diversification with impact, accessing moderate to high-yield opportunities.”
Mainvest’s Growth and Future Plans
Since starting in 2018, Mainvest has grown a lot. It has helped over $100 million in community capital raises and supported more than 10,000 investors. Mainvest plans to reach more local businesses and investors across the U.S.
The company focuses on helping minority and women-led businesses grow. It also aims to boost local economies. In the last five years, Mainvest has helped over 350 small businesses raise more than $30 million. This shows how well the platform connects investors with local businesses needing money.
Mainvest wants to grow its platform and offer more investment chances. It makes it easy for people to support local businesses they care about. With investments starting at $100, Mainvest is working to make investing more accessible to everyone. This could change how local economies grow.
Mainvest works with groups like the North Dakota Small Business Development Centers (ND SBDC). This shows Mainvest’s dedication to helping local economies. With “Investing in Main Street North Dakota,” people can invest $100 in local small businesses. This strengthens community ties with businesses that help them grow.
Mainvest is set to keep growing and making a bigger impact. It focuses on helping diverse entrepreneurs, supporting local economies, and making investing easier for everyone. This approach sets it up for success in the future.
Mainvest
Mainvest is changing how people invest in their communities. It connects everyday investors with small businesses. This lets people support local businesses and maybe earn good returns.
Mainvest believes local businesses are key to strong communities. They offer a way for non-accredited investors to put money into these businesses for as little as $100. This makes it easier for more people to help their local economy grow.
Mainvest has a strict check process. They do deep background and financial checks on businesses. This ensures the businesses are good investments, giving investors confidence.
The way Mainvest invests is focused on long-term success. They offer revenue-sharing deals, not just equity. This means investors get a share of the company’s earnings over time. It helps investors and businesses work together towards success.
Mainvest helps everyday investors support local businesses. This boosts economic growth and strengthens communities across the U.S. Their platform lets people play a big part in their neighborhood’s future.
Mainvest is making a big difference in local economies. They focus on empowering communities and investing responsibly. Mainvest is leading the way to a brighter future for Main Streets.
Conclusion
Mainvest brings a new way to invest locally, offering a chance to support your community and earn good returns. It helps small businesses, especially those run by women and minorities, grow. This leads to a stronger, fairer economy.
Mainvest connects investors with successful local businesses. It stands out for its clear and responsible investing. As more people see the value in investing in their communities, Mainvest is set to be key in local economic growth.
For those looking to diversify their investments and help their local economy, Mainvest is a great choice. It uses a careful process to pick businesses that can grow. This way, investors can grow their money and support their communities.
FAQ
What is Mainvest?
Mainvest is a platform that lets everyday investors put money into local businesses across America. It started in 2018. The goal is to help small businesses get the money they need to grow by connecting them with investors.
What is Mainvest’s mission and vision?
Mainvest aims to boost local economies and help communities grow by linking Main Streets with investors. It lets anyone invest in local shops, from bakeries to restaurants. This helps these businesses grow and thrive.
What are the key benefits of investing with Mainvest?
Investing with Mainvest has many benefits. You could earn returns of 10-25%. It also helps diversify your investments and supports local businesses. Plus, it makes a positive impact on your community.
How does Mainvest vet the businesses on its platform?
Mainvest checks businesses carefully to make sure they’re trustworthy. They look at their responsibility, check for bad actors, and review them regularly. This helps spot and fix any issues early on.
What is Mainvest’s social underwriting approach?
Mainvest makes businesses raise at least ,000 from 10 people they know. This “social underwriting” method ensures the businesses have local support. Mainvest believes this leads to better returns and fewer defaults.
Can you provide some success stories of businesses funded on Mainvest?
Yes, Mainvest has helped many local businesses. For example, Ghostface Brewing in North Carolina raised 0,000. Great Scott, a music venue outside Boston, raised 2,700 to keep its doors open during the pandemic.
What types of businesses are featured on Mainvest?
Mainvest supports a wide range of local businesses. You can invest in things like bakeries, breweries, yoga studios, restaurants, and specialty grocery stores. They also focus on helping minority-owned and women-led businesses.
How does the investment structure and returns work on Mainvest?
Mainvest offers a revenue-sharing deal. Investors get a share of the business’s earnings (1-9%) over 4-6 years. The goal is to give investors returns of 10% to 25% on their investment.
How does Mainvest support local economic development?
Mainvest plays a big role in local economic growth. It invests in Main Street businesses and creates a “closed-loop capital ecosystem.” This keeps wealth in the community. It also helps minority-owned and women-led businesses grow.
How can investors get started with Mainvest?
Starting with Mainvest is easy. Just sign up on their website, look at the investment options, and invest as little as 0 in the businesses you support.
How does Mainvest compare to other local investing platforms?
Mainvest stands out by offering a nationwide reach, strict vetting process, and focus on inclusive entrepreneurship. It’s a top choice for local investing in the U.S.
What are the risks and considerations of investing on Mainvest?
Investing on Mainvest comes with risks, like any investment. Mainvest’s processes help reduce these risks, but there’s always a chance of business failure. Investors should look closely at each investment and spread their investments to manage risk.
What are Mainvest’s plans for the future?
Since starting in 2018, Mainvest has grown a lot, helping over 0 million in community capital raises. They plan to keep growing, connecting more local businesses with investors across the U.S.