What is Rewards-Based Crowdfunding?

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We look at Rewards-Based crowdfunding as the new "Family & Friends" rounds without giving up equity at the early stages of your company. Reward-Based crowdfunding involves individuals contributing small amounts of money to projects in return for some kind of reward. Rewards can range from something simple such as a thank-you postcard to a finished version of the product.

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How Does It work?

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As a Founder, you would describe your project or business idea and capital raise goal on Crowd Wallstreet platform. In return for contributions, you will incentivize your backer by providing some sort of rewards. You can also offer different reward tiers. For example, a jewelry designer might reward everyone who contributes $25 with a "Thank You" card and those who contribute at $100 will receive an original handmade bracelet.

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Who Can Raise Capital On Crowd WallStreet?

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For-profit and nonprofit companies are allowed to raise capital on our platform. - Must be 18 years of age or older * If under the age of 18 you must work with an adult or guardian that meets our requirements and be willing to take full responsibility of the campaign. - Must have a registered legal entity. - Must have an address, business bank account, and government-issued ID based in the country that you're in. Offers (Rewards) we do not allow: - Raffles - Gambling - Alcohol - "Security" (Stocks, Bonds, Convertible Notes) *Consider our Equity offering. - Weapons and Ammunition - Any controlled substances Countries that are allowed to use our platform - US, Africa, UK, Canada, Australia, New Zealand, the Netherlands, Denmark, Ireland, Norway, Sweden, Germany, France, Spain, Italy, Austria, Belgium, Switzerland, Luxembourg, Hong Kong, Singapore, Mexico, Japan, Poland, Greece, and Slovenia.

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Do I Have To Pay Taxes?

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THIS IS NOT TAX ADVICE. PLEASE DIRECT ANY TAX RELATED QUESTIONS TO YOUR TAX ADVISOR. If you had 200 or more transactions netting a total of $20,000 or more through our electronic-payment processor. you will receive a 1099-k. Form 1099-K, Payment Card and Third Party Network Transactions, is used to report transactions that are made via a payment settlement entities. Simply put, if you use a service to process credit or debit card transactions, that service is a payment settlement entity, and the amount of those types of transactions for the year should be reported on the Form 1099-K. The purpose of Form 1099-K is to keep online-auction sellers and other small businesses from evading taxes on transactions that previously went under the radar.

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Capital Raise Amount

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How high or low you set your goal plays a major part in determining if you will get the funds you need for your company. You must set a realistic, achievable goal. You should not set a goal of $100,000 unless $100,000 is the absolute minimum amount you need to deliver on your project. If you set a high goal and have only raised a small amount of money, backers are often less likely to jump on board and support your campaign. The human nature also applies to crowdfunding efforts: people like to support winners. This is why it’s important to reach out to as many people as possible before you launch. To protect backers and founders, Crowd WallStreet has an all-or-nothing rule, in order to minimize risk. All-or-Nothing: where the founder sets a fundraising goal and keeps nothing unless the goal is achieved. What that means for you is that if you set a goal of $100,000 and only receive $35,000 in backing, no funds will be collected from your backers and will be returned. * By not releasing funds unless a campaign meets its goal, this ensures that founders have enough money to do what they promised. - Our Minimum funding goal is $10,000

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What Is Crowd WallStreet Fees?

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Crowd WallStreet collects a 5% fee from the funds that are successfully raised. Also, our payments processor will also collect a payment processing fee (roughly 3-5%) per transaction. If your campaign does not each its funding goals, no fees are collected.

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Qualifications

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- Business must be Registered - Must have an Employer Identification Number (EIN) - Business Bank Account - Pitch Deck - Prototype (If applicable) *Some form of proof of concept

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What is Rewards-Based Crowdfunding?

---

We look at Rewards-Based crowdfunding as the new "Family & Friends" rounds without giving up equity at the early stages of your company. Reward-Based crowdfunding involves individuals contributing small amounts of money to projects in return for some kind of reward. Rewards can range from something simple such as a thank-you postcard to a finished version of the product.

---

How Does It work?

---

As a Founder, you would describe your project or business idea and capital raise goal on Crowd Wallstreet platform. In return for contributions, you will incentivize your backer by providing some sort of rewards. You can also offer different reward tiers. For example, a jewelry designer might reward everyone who contributes $25 with a "Thank You" card and those who contribute at $100 will receive an original handmade bracelet.

---

Who Can Raise Capital On Crowd WallStreet?

---

For-profit and nonprofit companies are allowed to raise capital on our platform. - Must be 18 years of age or older * If under the age of 18 you must work with an adult or guardian that meets our requirements and be willing to take full responsibility of the campaign. - Must have a registered legal entity. - Must have an address, business bank account, and government-issued ID based in the country that you're in. Offers (Rewards) we do not allow: - Raffles - Gambling - Alcohol - "Security" (Stocks, Bonds, Convertible Notes) *Consider our Equity offering. - Weapons and Ammunition - Any controlled substances Countries that are allowed to use our platform - US, Africa, UK, Canada, Australia, New Zealand, the Netherlands, Denmark, Ireland, Norway, Sweden, Germany, France, Spain, Italy, Austria, Belgium, Switzerland, Luxembourg, Hong Kong, Singapore, Mexico, Japan, Poland, Greece, and Slovenia.

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Do I Have To Pay Taxes?

---

THIS IS NOT TAX ADVICE. PLEASE DIRECT ANY TAX RELATED QUESTIONS TO YOUR TAX ADVISOR. If you had 200 or more transactions netting a total of $20,000 or more through our electronic-payment processor. you will receive a 1099-k. Form 1099-K, Payment Card and Third Party Network Transactions, is used to report transactions that are made via a payment settlement entities. Simply put, if you use a service to process credit or debit card transactions, that service is a payment settlement entity, and the amount of those types of transactions for the year should be reported on the Form 1099-K. The purpose of Form 1099-K is to keep online-auction sellers and other small businesses from evading taxes on transactions that previously went under the radar.

---

Capital Raise Amount

---

How high or low you set your goal plays a major part in determining if you will get the funds you need for your company. You must set a realistic, achievable goal. You should not set a goal of $100,000 unless $100,000 is the absolute minimum amount you need to deliver on your project. If you set a high goal and have only raised a small amount of money, backers are often less likely to jump on board and support your campaign. The human nature also applies to crowdfunding efforts: people like to support winners. This is why it’s important to reach out to as many people as possible before you launch. To protect backers and founders, Crowd WallStreet has an all-or-nothing rule, in order to minimize risk. All-or-Nothing: where the founder sets a fundraising goal and keeps nothing unless the goal is achieved. What that means for you is that if you set a goal of $100,000 and only receive $35,000 in backing, no funds will be collected from your backers and will be returned. * By not releasing funds unless a campaign meets its goal, this ensures that founders have enough money to do what they promised. - Our Minimum funding goal is $10,000

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What Is Crowd WallStreet Fees?

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Crowd WallStreet collects a 5% fee from the funds that are successfully raised. Also, our payments processor will also collect a payment processing fee (roughly 3-5%) per transaction. If your campaign does not each its funding goals, no fees are collected.

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Qualifications

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- Business must be Registered - Must have an Employer Identification Number (EIN) - Business Bank Account - Pitch Deck - Prototype (If applicable) *Some form of proof of concept

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Campaign Title

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Your title is the first thing a Crowd backer will see on your campaign page. - Keep it simple and curious The title of your crowdfunding campaign is what gets people to click on your campaign to learn more.

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Funding Goal

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The best way to figure out your funding goal for your campaign is to know exactly what you need! Setting your funding goal isn’t just asking for what your campaign needs…there is more to it. Here are some guidelines on how to calculate your funding goal: - Estimate cost of production per unit multiplied by minimum order quantity - Administrative expenses (if applicable) - Marketing costs - Shipping cost - Cost of rewards - Buffer costs (10%-20% of production costs) REMEMBER: - Be Realistic - Make It Achievable - Small Numbers, Big Wins!

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Deadline

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You want backers to contribute and to do it in a limited time when you set a crowdfunding goal. This works great as a marketing strategy funding goal too. You can run your campaign for as long as you want but we suggest your campaign to run for 30-45 Days.

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Your Pitch Video

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Over 85% of crowdfunding campaigns include a video. Creating a video helps engage people more personally about your story and venture. Tell people who you and your team are, what your business is about, what problem you are trying to solve, and what you hope to achieve with their money. - Your video should be no more than 3 minutes. - Consider music for the background. - Show a sneak peak of your project, product, backstage etc

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Content

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When coming to the description of your campaign, there are some things to consider: - The less people have to read, the faster they will absorb the information on the page. Seperate long text into sections with headings. - Grab your audience attention at the very begining. - Make sure you proofread before launching. - Leverage pictures in your description and also pictures of the rewards if possible.

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Rewards

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Offering something in return for a financial backing is a good strategy and is often a key factor of success. Campaigns that offer rewards raise more money than those that do not.

The most common reward levels are: $10, $25, $50, and $100. Do not be afraid to set reward levels in the hundreds or thousands IF the value at that level make sense.

- Naming each reward can make it attractive.

- Make sure the rewards you are offering can be fulfilled.

- Consider shipping costs when shippng to other countries and region, when creating your rewards.

- Use words like “limited edition,” “exclusive,” and “early-bird”

Your goal is to make your rewards relevant to your campaign and entice your target audience to support your campaign.

Types Of Rewards You Can Offer:

- Products

- Reconigtion

- Experience (Backstage tickets, private dinner or party etc)

- Service (Discounted service)

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