We evaluate equity crowdfunding campaigns on a qualitative and a quantitative basis.
Qualitative Method
Qualitative research seeks to describe a topic, rather than measure it. A Qualitative Report is less structured and delves deep into the topic at hand in order to be able to form a narrative opinion.
We appraise equity crowdfunding campaigns qualitatively by focusing on the founding team's expertise and delivery capability, the company's competitive advantage, the market opportunity, the momentum achieved to date, the likely return on investment and the associated time-frame to exit.
Quantitative Method - ECF Scorecard
Quantitative research, as the name suggests, is primarily about numbers and its findings are typically expressed numerically.
We use the ECF Scorecard to assign a numerical value to each of the key elements of a business, as follows: • Strength of the Management Team (Score out of 30): • Size of the Opportunity (Score out of 25): • Nature of Product/Technology (Score out of 15): • Competitive Environment (Score out of 10): • Marketing/Sales Channels/Partnerships (Score out of 10): • Need for Additional Investment (Score out of 5): • Other (Score out of 5). This allows us to give each equity crowdfunding campaign a score out of 100.