Has anyone heard of EquityZen? It’s a site/platform that gives you access to private pre-IPO tech companies. If so, what are your thoughts on it? If not, what do you think about investing in pre-IPO tech companies in general?

EquityZen

This post was edited on 6/14/19 at 12:46 pm

1 ...

Report Post

Posted by lilsnappa

Red Stick

Member since Mar 2006

1794 posts

Posted on 6/14/19 at 2:34 pm to Grateful Reb

Investing in Private companies is not for the average investor. To get into this game, you need to be one of these:

Angel Investors
High Net Worth Individuals (HNWIs)
Family Offices
Registered Investment Advisors (RIAs)

Incredibly high risk/reward. These "pre-IPO" tech companies don't operate on many of the basic business principles/standards that Public companies are held to. You are basically taking a bet on 1)the leadership 2) the proprietary technology 3) the feasibility to liquidate via IPO or acquisition

EquityZen is a means for people in these companies to cash out before the company does. Secondary markets are pretty much the wild west of investing these days...

1 ...

Report Post

Posted by lilsnappa

Red Stick

Member since Mar 2006

1794 posts

Posted on 6/19/19 at 4:04 pm to lilsnappa

..guess I killed this thread

1 ...

Report Post

Posted by GWfool

Member since Aug 2010

2354 posts

Posted on 6/19/19 at 4:25 pm to lilsnappa

You nailed it there is no reason for any other comments.

1 ...

Report Post

Posted by VABuckeye

Naples, FL

Member since Dec 2007

35541 posts

Posted on 6/19/19 at 8:32 pm to GWfool

Yep.

Theranos

Y

quote:
Yet buried within the SEC’s legal complaint, filed in federal court in San Jose, are indications that there may be many more companies just like Theranos still collecting money from investors — firms with an intriguing pitch, a credulous media claque, a business plan that makes secrecy sound like a virtue, and an appealing leader with unassailable corporate control.

This post was edited on 6/19/19 at 8:36 pm

Page 1