Early momentum is very important on StartEngine. Getting off to a hot start has proven to be one of the most important factors of a successful raise. So what are perks? Will those help me secure a strong opening?
To keep it simple - yes! The overwhelming majority of campaigns on StartEngine offer some type of perk to investors. We have found that perks are a fantastic way to accomplish two things:
1.) Incentivize users to take action now.
2.) Help investors to identify further value with a larger contribution.
<aside> ❗ NOTE FOR REG A+ Campaigns: Reg A+ campaigns are not allowed to offer Time-Based perks, and also have a maximum bonus share limit of 20% per investor.
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https://player.vimeo.com/video/1000969981?h=2b05d7bd6e
In your campaign, you can offer four types of perks to incentivize investors: Amount-Based Perks, Time-Based Perks, Loyalty Bonus Perks, and a Venture Club Bonus. These perks can stack, but with a key rule: investors will receive the greater of the Amount-Based or Time-Based Perk, not both.
The Loyalty Bonus and Venture Club Bonus stack on top of the greater of the Amount-Based or Time-Based Bonus Share Perk. This allows you to offer multiple incentives to eligible investors, without overwhelming them with too many bonuses. Now, let’s explore how each perk works in more detail.
As the name implies, these time-based perks are based on the number of days people have to take action. This will be the most powerful tool for securing early momentum when a campaign first launches on StartEngine. It is much easier to activate a community when there is something on the line to drive action.
<aside> ❗ NOTE: Time-based bonuses begin and end at the time your offering launches. For example, if the offering launches at 9AM EST on August 1st and the Time-Based Perk runs for two weeks, the perk will end at 9AM EST on August 15th (exactly 14 days later).
This rule also applies to any mid-campaign perks. </aside>
Early Bird
This factors in both time and value of the investment. This is going to limit this perk to investors who meet a time requirement in the beginning of the raise AND invest a certain amount in your campaign.
Not available for Reg A+ raises.
ex.) "Invest within the first 30 days and receive an additional 10% bonus shares with your investments."