What our words mean under Regulation Crowdfunding
Fools uses everyday words in the product. This page gives the regulation's term for each one and the standard it meets.
Words we use
| Our word | What it means under the regulation | Standard |
|---|---|---|
| Pledge before the Form C is filed | An indication of interest. It carries no obligation or commitment. No money is asked for or accepted. | Testing the waters, 17 CFR 227.206 |
| Pledge after the Form C is filed | An investment commitment made through the intermediary's platform. You can cancel it for any reason until 48 hours before the offering deadline. | 17 CFR 227.100(a)(3) and 227.304 |
| Round | An offering of securities under Regulation Crowdfunding. A company can raise up to $5,000,000 this way in 12 months. | 17 CFR 227.100(a)(1) |
| Your limit | The most a non-accredited investor can put into all Regulation Crowdfunding offerings in 12 months. Accredited investors have no such limit. | 17 CFR 227.100(a)(2) |
| Our licensed broker-dealer partner | The intermediary of record for each Fools round. Every Regulation Crowdfunding offering runs on one registered broker-dealer's or funding portal's platform. | 17 CFR 227.100(a)(3) |
| Money moves | Money moves only as the SEC's rules allow. An investor pays only after the Form C is filed. Payment goes through the intermediary's platform to a qualified third party. The money reaches the company only when commitments reach the target and the cancellation period has passed. | 17 CFR 227.206 and 227.303(e) |
The statement shown with each pledge before the Form C is filed
- This pledge is an indication of interest. It carries no obligation or commitment of any kind.
- No money or other consideration is asked for now. Any sent in response will not be accepted.
- No offer to buy can be accepted, and no part of the price can be received, until the company files its Form C. After that, investing happens only through the intermediary's platform.
- This communication is from the company raising the round.
Version 2026-10-31