What are Amendments?
An amendment to your offering is required by the SEC for any changes to your offering. There are several cases where you will need to ask us to file an amendment with the SEC to allow your company to make material changes. If your change is a "material change" as defined by the SEC, all current investors will need to reconfirm their investment within 5 business days or their investment will have to be cancelled and refunded. Material changes include but are not limited to:
- Extension of the campaign via changing the end date
- Change the maximum raise goal (no fee)
- Change the minimum raise goal
- Change the minimum investment for investors
- Change the perks
To make those changes, there is a $1,000 one time fee paid upfront (except for change the maximum raise). Also, these changes require each existing investor who has deposited money in escrow to reconfirm their investment. This is done by email and asks the investor to click and reconfirm. This step is handled by StartEngine. We send three separate emails to those who have not yet reconfirmed their investment before the deadline to ensure investors have the opportunity to reconfirm, should they choose.
Because of the effort and cost of filing a material change, it is best to have your campaign page 100% complete with no errors before filing with the SEC. Contact us at hello@startengine.com to request a material change.
We recommend you speak to your attorney or our team about changes you want to make after your campaign is live to make sure that these are not material and do not require an amendment to be filed.