Taft Chicago attorneys Patrick Wartan, Matthew Godfrey, and Abe Wehbi assisted Tapville Franchising Inc. (d/b/a Tapville) in launching its crowdfunding campaign to raise equity through StartEngine. The multidisciplinary team worked closely with StartEngine’s legal team to advise and assist Tapville to reorganize as a Delaware corporation and comply with applicable SEC requirements.
By facilitating large numbers of relatively smaller investments, crowdfunding enables public-facing startups such as Tapville to leverage their existing brand and goodwill into significant equity capital investments from retail (non-accredited) investors. However, this alternative to traditional angel/venture investments also requires a tailored legal approach designed for scale and flexibility.
As chair of Taft’s Food and Beverage practice, Wartan advised Tapville regarding liquor licensing and food/heath regulations, which distinguish its offering from other crowdfunded investments. Godfrey and Wehbi used their SEC and startup experience across myriad industries to counsel Tapville on how to manage the risks and responsibilities of having many smaller investors. Operating across disciplines at the intersection of SEC rules, startup finance, and liquor/health regulation, the Taft team set Tapville on the path for a successful, and legally sound, crowdfunding campaign and future growth. View the Tapville StartEngine campaign here.