What is equity crowdfunding?

In order for companies to sell their securities (such as stock or bonds) to you, they must either file a prospectus in the jurisdictions in which they sell securities or rely upon an available exemption. For start-up companies that may want to raise a modest amount of capital for business development, selling stock or bonds to investors can be very expensive because of the legal and accounting costs involved. To aid start-up companies in their capital raising efforts, securities regulators in most provinces have adopted policies that permit equity crowdfunding, which consists of raising money of up to $1,500 per investor and a maximum aggregate total of $250,000 per crowdfunding distribution.

How crowdfunding works

   You can review companies that are raising money through our website by going to the Investment Opportunities page.  You will see a summary of the company offerings that are currently ongoing.

   If you click on a company summary, you can see more details about that specific company’s operations or intended operations, as well as the details of the offering.

   DO YOUR HOMEWORK. Ensure that you read all the information regarding a particular company offering, especially the Offering Document that provides you with information that securities regulators in each province require the company to provide to potential investors.  However, note that the securities regulators do not review or approve the Offering Document.

   If you decide to invest in one of the companies that is selling its securities through our website, you will need to confirm that you understand the risks of the investment and that you have read and understood the company’s offering document.  Please contact us at info@stockosaurus.ca if you have any questions or need clarification regarding the information about any particular investment.

   In order to purchase securities through our website, you will need to complete an account registration with your contact details and other basic information.  Note that the investments are only open to residents of British Columbia, Alberta, Saskatchewan, Manitoba, Ontario, Nova Scotia, and New Brunswick.  If you reside in another province or territory in Canada, or outside of Canada, you cannot participate in crowdfunding through Stockosaurus.

   To purchase securities of a particular company, you will need to indicate how many securities you wish to buy and pay through your financial institution using Interac.  Interac E-Transfer is one of the safest and fastest ways to send and receive money in Canada.  Upon completing a purchase, you will receive an email confirmation from us.  After payment, you have up to 48 hours to change your mind about your investment by contacting us and asking that your funds be returned.  We will return the payment to you within five business days.

   Stockosaurus will hold each investor’s funds in trust for that investor.  This means that your funds will be held in an account that is separate and apart from Stockosaurus’s own assets in a designated trust account at a Canadian financial institution.  In the event that Stockosaurus becomes insolvent or discontinues operations, it will notify you of this by email and will arrange to return your investment funds to you via cheque, wire transfer, or Interac transfer.