Regulation Crowdfunding Education Center
Will I receive updates on my investment?
After the offering is closed and your investment has been finalized, you can expect an annual report from the company once per year. This report will be available on the company’s website – not on the MicroVentures platform.
Among other items, the report is required to include the following information:
- The company’s name, legal status, physical address, and website
- The names of all company officers and directors, along with descriptions of each position, including the period of time each position was held
- The names of all investors owning 20% or more of the voting equity securities in the company
- A description of the company’s business and anticipated business plan
- The current number of employees at the company
- Financial statements, including balance sheets, statements of comprehensive income, statements of cash flows, statements of changes in stockholders’ equity, and other notes
- A description of any debts incurred by the company, including the amount, interest rate, and maturity date
- A description of all transactions whose amounts exceed 5% of the aggregate amount of capital raised under Title III in the last 12 months, and any such transactions currently proposed
The annual report must be filed within 120 days of the end of the fiscal year covered by the report.
There are a handful of circumstances under which a company is not obligated to provide an annual report, which would prevent investors from having access to current financial information about the company. For example, the company if not obligated to provide an annual report if, at any time:
- The company is required to file a report under provisions of the Securities Exchange Act
- The company has filed at least one annual report and has fewer than 300 investors
- The company has filed at least three annual reports and has total assets that do not exceed $10 million
- The company or another party purchases or repurchases all of its securities
- The company liquidates or dissolves in accordance with state law