Investing in startups is not suitable for all walks. Private investing can be a challenging, risky journey in the search for new investment opportunities. However, equity crowdfunding is a route that also often goes unnoticed and underappreciated by most.
Being an early investor in a company can be great when that company wants to go big, make a difference and disrupt its sector or industry. Still, this kind of investment requires active engagement, financial analysis of the business model and general due diligence.
If you’re an investor who fully understands these high risks and responsibilities, then this article will help you sift through the many opportunities on various equity crowdfunding platforms. Specifically, these seven startups on StartEngine look attractive right now and will be closing their campaigns soon.
If you want to become an investor, now is the time to weigh their opportunities, risks and potential to deliver.
- M.C. Squares
- O2 Treehouse
- Up Sonder
- Pacific Integrated Energy
Equity Crowdfunding Opportunities: Tanoshi
Tanoshi is a growing edtech startup that has achieved several milestones already. For starters, it has been featured on Shark Tank — and got an offer. A best seller on Amazon (NASDAQ:AMZN), the Tanoshi computer was also named the 2021 Best Laptop for Elementary School Kids on Good Morning America. So far, this company has generated revenue of more than $3 million.
Basically, Tanoshi is solving a problem that has been accentuated by the digital world. Kids need to be educated, but the cost of technology has limited resources and created inequity for many people. As the company puts it, Tanoshi is offering an “educational, equitable, and affordable” solution.
Tanoshi computers are based on the Android operating system, are suitable for ages six through 12 and come loaded with “age appropriate parental controls and educational content.” Further, the computers can be used both online and offline.
This is a large market opportunity. Tanoshi estimates that total global spending on educational technology will reach over $400 billion by 2025. According to its investment page, the company has already sold some 15,000 computers.
The minimum investment in Tanoshi on StartEngine is $99.
M.C. Squares is a manufacturer of home and office supplies that aim to boost productivity and creative thinking. Some of this company’s products include reusable sticky notes, smudge-free dry-erase markers and desktop whiteboards. Further, the company’s utilization of dry-erase has a highly positive environmental impact. M.C. estimates some 2 billion paper sticky notes have been saved as of July 2021. Additionally, one tree has been planted for each order.
M.C. Squares’ revenue growth has increased about 300% in 2020, with sales of $2.5 million compared to $610,000 in 2019. Additionally, both gross profit and gross margins have expanded. In 2018, the gross profit percentage was 39%. In 2020, it came in at 84%.
This company’s products target the large office supply market (roughly $250 billion) and the even bigger home décor market. At the same time, the company is building its intellectual property with some 14 filed patents. Notably, the company also has five trademarks.
For this pick of the equity crowdfunding opportunities, the minimum investment on StartEngine is $100.82.
Equity Crowdfunding Opportunities: Tombot
Tombot is a manufacturer of robotic animals specifically designed for seniors with dementia. The idea is to help the elderly achieve the mental and emotional health benefits of the human-animal relationship without the responsibilities of a real pet.
At first, the price of Jennie the robot dog — selling for $449 — may seem expensive. But the truth is this is much cheaper than other competing efforts. On top of that, Jennie is able to receive software updates to improve its functionality.
Currently, more than 50 million seniors suffer from dementia worldwide. Further, this number is projected to increase to more than 152 million by 2030. That means there is a large market opportunity for Tombot, which already has more than 8,500 preorders today.
Tombot has lofty goals. It wants to become “the world’s largest social robotics company.” For now, Jennie is a robotic Labrador Retriever-appearing robot. But there are numerous possibilities for the company to explore and satisfy its expanding customer base with in the future.
Right now, the minimum investment in Tombot on StartEngine is $249.55.
Next up on this list of equity crowdfunding opportunities is O2 Treehouse, a company that wants to bring people closer to nature by manufacturing — as its name suggests — treehouses.
This is a growing, specialized market worldwide. In addition to the company’s treehouse-building services, however, O2 Treehouse is looking to expand its opportunity by launching a new franchise business: Treewalkers. The endeavor is a treehouse hospitality brand that will create a network of rentable “glamping” treehouses around the world.
With more than 85 treehouses built, O2 Treehouse has been featured in a variety of prestigious media, from Forbes to The New York Times to HGTV. So, there is plenty of traction present. After all, the ecotourism industry is a large growing market. According to O2, the market was valued at $302 billion worldwide in 2019. Now it is projected to grow at a compound annual growth rate (CAGR) of 14% to $763 billion by 2026
What makes O2 Treehouse an interesting business opportunity is that it combines three markets: ecotourism, wellness and home-sharing. The treehouses made by O2 Treehouse are financially viable, with a reported 70% occupancy rate. Further, customers reviews are proving that this unique-experience product is exactly what the market wants.
The minimum investment in O2 Treehouse on StartEngine is $250.
Equity Crowdfunding Opportunities: Up Sonder
Up Sonder is all about drone services, working to create a network of certified drone pilots worldwide. With a focus on access and flexibility, the company’s network expands across more than 900 cities. And according to Up Sonder, the commercial drone industry is expected to double by 2025.
Essentially, this company is looking to solve a problem: customers have yet to fully realize how to find quality drone services, hire drone pilots and more. By providing a network to connect customers with these services, Up Sonder is helping to accelerate this nascent-yet-inevitable industry.
Furthermore, Up Sonder is currently developing network infrastructure for autonomous drones. The network — Marketplace 2.0 — will be more sophisticated than the current system, with plans to implement rooftop charging and more. The company estimates that the commercial drone market should grow to $42.8 billion by 2025.
Currently, the minimum investment in Up Sonder on StartEngine is $279.
Pacific Integrated Energy
Next up on this list of equity crowdfunding opportunities, Pacific Integrated Energy (or PI Energy) is transforming solar technology. Basically, the company is enhancing practicality and competitiveness by developing next-generation solar photovoltaic (PV) materials: solar nanofilm that outperforms traditional, heavy solar panels.
There are plenty of key advantages to PI’s solution. For example, being thin and flexible, these nanofilms have low installation costs and can be applied to a variety of surfaces in a variety of orientations. This includes use on homes, cars, trucks and commercial buildings. On top of that, the technology is also sustainable and non-toxic (as opposed to some traditional panels which can contain scarce and toxic elements).
As sustainable electrification gains speed around the world, the applications for Pacific Integrated Energy’s tech will only grow. All told, the market opportunity here is very large. For example, the “total grid-connected energy market” is worth about $2.6 trillion globally. What’s more, PI’s relevance will only increase as the electric vehicle (EV) industry gains speed, too.
Right now, the minimum investment in Pacific Integrated Energy on StartEngine is $500.
Equity Crowdfunding Opportunities: GolfBoard
Created by Sol Boards, GolfBoard is the last entry on this equity crowdfunding list and offers an alternative to conventional electric golf carts. Basically, this is a “single rider, all-wheel-drive electric vehicle” that provides a unique and fun riding experience on the golf course.
So far, this name has seen some significant traction. GolfBoard has generated $16.5 million in revenue, with more than 3,000 units delivered across seven countries.
This product also has some big advantages to offer the game of golf. For example, it’s an attraction for younger players. So, GolfBoard is helping reenergize a game that has otherwise been in decline, seen as stuffy and boring. GolfBoard is also amping up the pace of the game with its swift and easy-to-ride product.
Currently, the minimum investment in GolfBoard on StartEngine is $250.
On the date of publication, Stavros Georgiadis did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
Stavros Georgiadis is a CFA charter holder, an Equity Research Analyst, and an Economist. He focuses on U.S. stocks and has his own stock market blog at thestockmarketontheinternet.com. He has written in the past various articles for other publications and can be reached on Twitter and on LinkedIn.