An Equity Roll-up pools multiple investors into a single entity, which then appears as just one entry on your cap table. This means that instead of having a dozen or more individual investors each represented separately, you have one line that encompasses all of them.
With the single legal structure, this vehicle then acts as one shareholder in your company. The investors’ capital is pooled within the Equity Roll-up, and each investor is allocated a portion of the vehicle proportional to their contribution.
Many startups face regulatory limits on the number of shareholders they can have. Hitting this shareholder cap can lead to costly and time-consuming restructuring, which is what most startups want to avoid, especially in their growth phase.
Scalability and Simplicity
Clean and Compliant Cap Table
Cost Efficiency
Reusable for Future Rounds
Access to Deals with Smaller Cheques
Simplified Shareholding to Avoid
Administrative Burden
For founders eager to scale without the legal and administrative hassle of exceeding shareholder limits, Equity Roll-Up offers an effective solution.
Accept smaller cheques, stay compliant, and streamline your growth, all while maintaining a clean cap table.
FB Ventures Pty Limited ABN 63 670 888 758 AFSL 553008 is a licensed CSF intermediary and is authorised by ASIC to provide crowd-sourced funding services. Always consider the general CSF risk warning and offer document before investing.
