Crowdfunding Comes to Texas
Now Texans can join in crowdfunding with rewards, says MassVenture CEO Nathan Roach. MassVenture just launched the first ever Texas equity crowdfunding project after getting the state’s blessing in February. The company offers everyday people the chance to invest in Texas projects ranging from commercial to residential real estate, to tech startups to brick-and-mortar businesses up to $1M.
Fundraising takes about 30 to 60 days, depending upon the project. A project's return period could be as long as six months or five years, he says. Each investor can contribute up to $5k. The ROI for investors can vary; for a long-term hold, investors can see up to an annualized 18% projected return. Some may have up to 30% to 40% ROI for higher risk projects, he tells us. There’s two local projects including a hacker house in Austin (a residential project where tech people can live and work). In San Antonio, there is a set of downtown lofts being crowdfunded as part of an urban revitalization effort, Nathan tells us.
