FAQs
Can I lose my investment?
YES! All Investors using the Site are doing so at their own risk. It is possible for an Issuer to default prior to repaying the Revenue Sharing Note. Any remaining balance to be repaid will be lost in this event.
We advise all potential Investors to please review the Education Materials, Terms of Use, and the Offering details for the respective investment prior to investing in a business.
What is Netgreen?
“We are a “Funding Portal.” We are registered with the SEC and with FINRA to act as an intermediary in Securities that are offered and sold under Title III.
While similar, being a Funding Portal isn’t the same as being a registered “broker-dealer.” We are not a registered broker-dealer.
Think of us as a marketplace, or a shopping mall, bringing together companies and investors. When you invest, you are not investing in us or in any entity affiliated with us. You are investing in a third-party business that has chosen to raise money using our marketplace.
As an intermediary, or marketplace, we do not guarantee any particular outcome and are not responsible for what happens to your investment – all investments are undertaken at your own risk. We also do not guarantee the accuracy of the information you receive from issuers. Our job is to facilitate investments and help ensure that transactions between investors and issuers meet legal requirements.”
How do I know if I am an Accredited Investor?
Please review the Education Materials in addition to the reference below. You may find the Accredited Investor attestations by going to your Account and navigating to the Portfolio page, on the left hand menu pane. There is a link on the Portfolio page to update your Accredited Investor status if you meet one of the following criteria.
Accredited Investor
If you are an “accredited investor,” you can invest as much as you want in offerings under Title III, a/k/a Regulation Crowdfunding, and will have access to offerings listed under rule 506(c), a/k/a Regulation D, by NetGreen Capital Investments LLC, as described in the footer of this webpage. The term “accredited investor” includes:
-A natural person who has individual net worth, or joint net worth with the person’s spouse or spousal equivalent, that exceeds $1 million at the time of the purchase, excluding the value of the primary residence of such person;
-A natural person with income exceeding $200,000 in each of the two most recent years or joint income with a spouse or spousal equivalent exceeding $300,000 for those years and a reasonable expectation of the same income level in the current year;
-A natural person who holds any of the following licenses from the Financial Industry Regulatory Authority (FINRA): a General Securities Representative license (Series 7), a Private Securities Offerings Representative license (Series 82), or a Licensed Investment Adviser Representative license (Series 65);
-A natural person who is a “knowledgeable employee” of the issuer, if the issuer would be an “investment company” within the meaning of the Investment Company Act of 1940 (the “ICA”) but for section 3(c)(1) or section 3(c)(7) of the ICA;
-An investment adviser registered under the Investment Advisers Act of 1940 (the “Advisers Act”) or the laws of any state; Investment advisers described in section 203(l) (venture capital fund advisers) or section 203(m) (exempt reporting advisers) of the Advisers Act;
-A trust with assets in excess of $5 million, not formed for the specific purpose of acquiring the securities offered, whose purchase is directed by a sophisticated person;
-A business in which all the equity owners are accredited investors;
-An employee benefit plan, within the meaning of the Employee Retirement Income Security Act, if a bank, insurance company, or registered investment adviser makes the investment decisions, or if the plan has total assets in excess of $5 million;
-A bank, insurance company, registered investment company, business development company, small business investment company, or rural business development company;
-A charitable organization, corporation, limited liability company, or partnership, not formed for the specific purpose of acquiring the securities offered, with total assets exceeding $5 million;
-A “family office,” as defined in rule 202(a)(11)(G)-1 under the Advisers Act, if the family office (i) has assets under management in excess of $5,000,000, (ii) was not formed for the specific purpose of acquiring the securities offered, and (iii) is directed by a person who has such knowledge and experience in financial and business matters that such family office is capable of evaluating the merits and risks of the prospective investment;
-Any “family client,” as defined in rule 202(a)(11)(G)-1 under the Advisers Act, of a family office meeting the requirements above, whose investment in the issuer is directed by such family office; Entities, including Indian tribes, governmental bodies, funds, and entities organized under the laws of foreign countries, that were not formed to invest in the securities offered and own investment assets in excess of $5 million; or
-A director, executive officer, or general partner of the company selling the securities, or any director, executive officer, or general partner of a general partner of that issuer.
What happens once I invest in a business?
Once you invest in an Offering, your money will transfer to Escrow. The campaign funds are held in Escrow by North Capital (https://www.northcapital.com/) until the campaign is completed or withdrawn. The campaign is completed if the fund raise target is achieved by the allotted deadline. The campaign is withdrawn if the target is not met before the deadline. Escrow sends the money to the Issuer upon completion or back to the Investor upon withdrawal.
The Issuer will begin repaying the investment on the agreed upon date. The money will flow back through a Custody Account to the Investors. The Issuer is responsible for establishing the repayment method with the Investors and paying back the investment plus a return determined by the agreed upon Revenue Payback Multiple. Once the payback multiple has been fulfilled, the Issuer’s obligation is satisfied.
We advise all potential Investors to please review the Education Materials, Terms of Use, and the Offering details for the respective investment prior to investing in a business.
There may be Equity Offerings listed under Rule 506(c) by NetGreen Capital Investments LLC and available only to Accredited Investors. Accredited Investors are advised to review each Equity Offering in detail with their legal and financial counsel, if applicable.