It’s no secret that small businesses are starving for capital. Banks have become an increasingly toxic climate for entrepreneurs looking to grow their businesses. But small businesses are vital to our economy and the fiber of our communities, so it is critical that they receive the funding they need to grow.
For the very first time, small businesses can now unlock that support by asking these community members to support them directly through an investment in a small debt offering. Community members can commit to support these businesses by pledging to invest in a Campaign using Sparkmarket’s intrastate compliant offering tools. When a Campaign closes successfully, the investors who complete their investment will become lenders to that business, and, thereby, are both supporting the business and realizing a reasonable rate of interest on the loan. Small public debt offerings align the interests of job creating community based businesses in need of capital, and the loyal base of community members that support them.
We’re lawyers who didn’t feel fulfilled doing work in the old-guard financial world. We wanted to be part of something new, something we cared about and have a ton of fun doing it. So we created SparkMarket—a one of a kind neighborhood marketplace designed around a unique Georgia law known as the Invest Georgia Exemption (“IGE”), which lets Georgia businesses advertise investment offerings to everyday Georgia residents.
Since 2011, we have been working to build the infrastructure that would make local investing a reality. We were among the first to spot the potential of the IGE, and we helped frame the rule, which places Georgia on the leading edge of the movement to legalize local crowdfunding.