A Market Where Every Stock Goes Up

By Matthew Milner, on Wednesday, May 6, 2015

Imagine, for a moment, a world where the odds are always stacked in your favor:

A world where every horse you bet on wins the race…

Every cast of your reel lands you the biggest fish…

And every putt you attempt goes in the hole.

Now imagine something even more exciting:

In this world, every investment you make goes up.

Sound too good to be true?

Give Your Returns a Boost

If you’re looking to improve your luck in golf, fishing, or the track, you might have opened the wrong email…

But if you’re looking to give your portfolio returns a boost or enjoy a more comfortable retirement, you’re exactly where you need to be.

Today we’ll show you a special website:

It lets you invest in young companies before they become household names—

And even more importantly, it stacks the odds for success in your favor.

The Next Ben & Jerry’s

The website I’m referring to is a “funding platform” called CircleUp.

CircleUp connects start-ups that need capital, with people like you who are looking to make investments that have significant upside potential.

The site specializes in consumer products companies—companies aiming to be the next Ben & Jerry’s, Gatorade, or Starbucks.

If you’re a longtime reader, you’ll know that we usually focus on tech investments. But investments in consumer products can be very lucrative.

Not so long ago, for example, Naked Juice was a tiny start-up based in Santa Monica, California. It believed there might be a market for all-natural juice in a bottle.

Fast-forward a few years and Pepsi acquired them—for an estimated $450 million.

As another example, just five years ago, Chobani was a small “start-up” that made Greek-style yogurt…

Now The Wall Street Journal says they’re worth $5 billion.

But historically, knowing where to look for companies like these—and knowing which ones to back—has been tough.

That’s where CircleUp comes in…

The Research & Numbers

CircleUp is highly selective in determining which companies to feature on its platform.

Out of every 100 companies that apply, just 5 make the cut.

Among other criteria, CircleUp looks for start-ups that have reached $1 million in annual revenues, and whose products are in national stores like Whole Foods.

And this selection process seems to be working:

As CircleUp recently reported, start-ups that raised funding on its platform went on to increase their revenues an average of 90% each year.

That’s 3 times higher than the growth rate for the companies it rejected.

Clearly, CircleUp’s curation process plays a big part in this success—and so does the fact that CircleUp supports these companies after they’ve been funded:

For example, through partnerships with General Mills and Procter & Gamble, CircleUp gives its start-ups access to business partners that can offer advice, distribution, or even an acquisition.

But there’s also another reason for these companies’ success…

And it has to do with you.

Vote With Your Wallet

On funding platforms like CircleUp, people like you are essentially “voting” for certain start-ups with your wallets—

And when dozens or even hundreds of investors are willing to support a company’s vision, that might be a good indication that the start-up has enough appeal to become a big success.

This type of “crowdfund” investing has only just gotten underway in the U.S.—but in Australia, it’s been legal since 2007: more than $130 million has been raised for 176 companies on various funding platforms.

How have the companies done so far?

Well, generally speaking, roughly 50% of all new businesses fail within their first year…

But according to a study performed by Dr. Richard Swart, the head of UC Berkeley’s crowdfunding research initiative, the companies that leveraged crowdfunding in Australia had an 83% survival rate.

That’s 66% higher than expected.

Now that’s stacking your odds.

Stack ‘Em

So if you’re looking to increase your odds of investment success in the private market, keep what you learned today in mind:

Focus on deals that have been curated from one of the top funding platforms—platforms like CircleUp, or like the other sites we cover here at Crowdability.

To explore some of the companies featured on CircleUp, click here >>

Happy Investing.

Please note: Crowdability has no relationship with CircleUp. We’re an independent provider of education, information and research on start-ups and alternative investments.

Best Regards,


Founder
Crowdability.com

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