Raising equity capital with Snowball Effect

Online capital raising, a new way to raise funds

Photo credit: Aeronavics

Welcome to Snowball Effect

The team at Snowball Effect is on a mission to make capital raising simpler and more efficient. Our offering includes public offers, private offers, wholesale investor offers, and bespoke capital raising assistance.

For companies, it’s a complete capital raising package and access to a wide investor audience, so it’s a quick and efficient way to raise funds. For investors, it’s a simple channel to discover and invest in early stage growth businesses.

The company sets a funding target to raise. If the target is met or exceeded, the company gets the money and the investors get shares in return. If the target is not met, all money is returned to investors.

Snowball Effect is licensed by the Financial Markets Authority as an equity crowdfunding provider. This means that we can facilitate offers to “retail investors” – the general New Zealand public. There is no requirement for a regulated offer document such as a “product disclosure statement”. This enables companies to raise funds from a large pool of potential investors at low cost.

New Zealand globe, with Snowball logo

The traditional forms of raising funds can be complex, time-consuming, and costly. Online capital raising is a simple and transparent way to raise funds. You get wide brand exposure (if you choose a public offer). And it’s an efficient process, so you can spend more time growing your business instead of raising funds.

The team at Snowball are highly professional and competent. They're the no-brainer option if you're a quality company and want a value-add capital raise process and access to a large investor audience.

John Bolton, Squirrel Founder and CEO

What is Snowball Effect?

Snowball Effect is New Zealand's leading private equity investment marketplace. We launched New Zealand’s first equity crowdfunding offer in August 2014, and have since raised more funds than all of the other equity crowdfunding marketplaces put together (over 70%1 market share).

We have a track record of raising capital for a wide variety of companies, and we pride ourselves on our high success rate to date. Our key advantage is offering companies the best chance of successfully raising funds. We do that in the following ways:

  • Support

    Quality offer materials are critical to capital raising success. We provide support as you develop your offer and offer marketing plan.

  • Investors

    We put a lot of effort into building a quality audience of potential investors, and our investor members are people who are here for the purpose of investing in growth companies.

  • Credibility

    Snowball Effect is seen as the market leader in New Zealand. Offers on Snowball Effect attract the attention of experienced investors.

  • Process

    We have designed the lowest cost and most efficient process possible for both investors and companies. This enables us to provide excellent value for our fee, and ensures a fast and simple capital raising process.

  • Judgement

    We understand equity crowdfunding and online capital raising better than anyone in New Zealand. If we think that our capital raising options aren’t right for you, we'll tell you at the earliest opportunity so that nobody is wasting time and you aren’t risking your brand and reputation on an offer with little chance of success.

We look to work with standout companies because we want Snowball Effect to be known for quality deal flow.

Capital raising options

1 At 15 March 2016