In a recent webinar conducted by StartEngine CEO, Howard Marks, on Tuesday, the company announced an exciting new venture under the StartEngine umbrella. StartEngine Private will be an accredited-only platform allowing investors to own shares in many of the top venture-backed startups in the U.S. While no official companies have been announced, these are presumably many of the largest names you know or regularly use. It's likely these companies will be unicorns and pre-IPO companies. Some notable names might include:
and other similarly situated, multi-billion-dollar unicorns with tens of millions in revenue. In the presentation, Marks noted this will give investors on the StartEngine platform the ability to invest alongside investors like "Andreesen, Daper, Sequoia and other VCs."
The SeedInvest acquisition acquired roughly 50,000 new accredited investors to their platform helping facilitate this launch. In total, StartEngine is accepting reservations for five companies and currently has $24 million reserved between those five companies. StartEngine noted "We believe StartEngine Private will represent a substantial portion of overall revenue in the future."
StartEngine has been committed to, since its founding, retail and non-accredited investors. But others, like Republic, have found incredible success in the accredited investors space. Accredited investors are higher net-worth individuals, which means each person provides more value with less upkeep costs. This means increasing revenue for a platform like StartEngine while decreasing costs per person.
StartEngine is also in talks to acquire a number of players to potentially help expand into this market quicker.