Buy The Block is a great chance to get financing and develop communities in need. At Buy The Block, Block Developers have a new mechanism to raise capital via the internet through our real estate crowd investing platform having a database of BlockVestors.
Review the following checklist and have many of these items ready once we call you.
- Go to BuyTheBlock.com/register or Buy The Block.com/login if you already have an account. Then click "Sign in" to begin building your offer. You must fill out the different tabs.
- Fill out all the onboarding tabs (Steps 1-4)
- Buy The Block makes it easy for you to create the document required to file with the SEC. By entering all the fields in the onboarding tabs, you are filling out all the required information not just to pass Buy The Block's due diligence, but to populate the SEC approved Offering Document
- Basics: Nothing complicated, just upload a background image, logo and fill out the fields about your company.
- Story: This is the campaign editor, and you can build great looking pages.
- Team: Enter each founder, officer and top team members photo and bio.
- Property or Business: Enter the property you wish to submit.
- Timeline: Enter each milestone from the inception to important future milestones.
- Legal: Provide a link to the legal information about the company.
- Financial: Provide a link the financial details.
- Terms: Enter the terms of the offering.
- Submit for Due Diligence
- Our due diligence team works hard to provide feedback within five business days from when you submit your offering. Make the recommended changes by due diligence.
- Remember, you are filing with the SEC and therefore should expect a couple of comments back and forth to make sure everything is correct and compliant. You are allowed three rounds of due diligence. If you wish to continue after that point, there will be a fee of $1,000.
- Buy The Block Files your Form C and sign the final agreements
- Once approved by due diligence, Buy The Block will request your final approval and will then file the Form C for you. Be patient as filing with the SEC EDGAR site can take a couple of hours. To go live, you must sign a couple of agreements to set up your escrow account (review the contract and email [email protected] for signature agreements), set up the technology, and our Buy The Block Posting Agreement.
- Buy The Block pushes you live!
- Once your Form C has been filed, and your team has signed all the appropriate agreements, we can push you live!
Note: If you are raising more than $107,000, hire a Certified Public Accountant to perform a financial review. The review must be for the shorter of the two most recently completed fiscal years or the period since your company's inception. If you would like to postpone the review, you can start with a maximum raise of $107,000 and increase your maximum later. In this case, you do not need to hire a CPA. Once you exceed $107,000 in investments, you can request us to file (for free) an amendment to increase the maximum raise. If you would like us to refer you to a CPA, please email [email protected].
If you are raising over $107,000, Buy The Block requires that you have an attorney review your offering. If you need a referral, we can provide one.
Internal Due Diligence
We utilize a third party who performs background checks.
We also perform an industry check.
We confirm a Block Developers credibility of claims regarding competitive advantages.
We review their business plan and strategies.
We confirm the independence of one or more board members and so forth.
We review geographic location.
We apply quantifiable performance metrics (such as revenue or key ratios), and market data).
We review the Block Developers records to confirm that its board of directors authorized the offering of shares.
We review their articles of incorporation (or operating agreement in the case of an LLC) are on file with the state.
We make sure their capitalization table is accurate.
We also confirm that the company is not involved in disruptive litigation.
We confirm that property in question is not in foreclosure, short sale, or upside down.
We review other key compliance issues as needed.
We also use banking underwriting standards to ensure stability.
To learn more about our due diligence process, please leave a message 513.299.7941 and someone will return your call within 48 hours.
PLEASE NOTE SOME OR ALL OFFERS MAYBE USING THE FOLLOWING Relief During COVID-19 Pandemic