Last Updated: July 2022
Investor protection and transparency are extremely important to us. As such we, regularly update and refine our existing due diligence processes to ensure we remain a leader in the crowdfunding investment market.
This Due Diligence Charter outlines the standard verification and approval process of every startup pitch featured on TrendScout’s platform. Because TrendScout features a diverse range of startups from various industries and sectors, we cannot cover all the specific situations in this Charter. Therefore, this Charter should be read as a general guide.
TrendScout does not endorse any of the startups on the platform nor do we provide investment advice of any kind. We strongly encourage that you conduct your own research and seek independent investment advice from an experienced professional before deciding to invest.
Moreover, this Charter outlines which areas in the startup’s landing page that are not reviewed as part of our standard due diligence process, we strongly recommend to you:
Investors should also be aware that TrendScout relies upon the startups’ founders and/or directors assurance that all information they provide us to publish on the landing page on our website are true and accurate. TrendScout also relies on third-party tools to conduct some due diligence.
Specific details about TrendScout’s Investor terms and conditions, including TrendScout’s liability and investment processes on our Investor Portal can be found here.
The following due diligence is conducted on each startup before the pitch is offered to our investors:
Additionally, every startup that raises on TrendScout’s platform provides warranties to TrendScout in our Terms of Use that could be found here. These include provisions specifying that:
During the time that the startup’s pitch is live on TrendScout’s website and Investor Portal, our team will review any connection request and investment patterns to ensure they are genuine and not made to unduly enhance their pitch’s performance.
TrendScout does not review any of the startup’s restricted documents, pitch videos, pitch deck updates, or discussions with investors that aren’t organised by TrendScout’s team.
Once a startup’s pitch has reached its funding target, TrendScout will conduct further due diligence before investments are complete and before to any funds being captured.
These steps include:
Any necessary disclosures from the post-funding legal due diligence process are set out in the Legal Review document, which will be emailed to investors at the beginning of the seven days cooling off period.
The following information, unless specifically mentioned in the pitch, is not always reviewed as part of our standard due diligence, so investors should assume that the following have not been checked:
Whilst we do provide guidance on valuations, it is the startup’s decisions to price their investment offer and ultimately the crowd then decides if they are willing to invest at that price.
Investing in a startup involves risk, including loss of capital, lack of liquidity and dividends, and dilution, and should be done only as a part of a diversified portfolio. Please read our Capital at Risk Warning before investing. Please note that investments should be made by investors who understand and accept these risks, and tax treatment depends on individual circumstances and is subject to change at any time.
TrendScout does not provide legal, financial, tax or investment recommendations, and no communications from TrendScout, through this website or any other medium should be construed as such. Furthermore, nothing on this website shall be considered as an offer to sell or a solicitation of an offer to buy any equity, shares, or security to any person in any jurisdiction to whom or in which such offer, solicitation or sale is illegal.
