There are only two types of costs when investing through Ronin.
There is an investment profit sharing fee. Putting it plainly, there is a 10% fee chargeable only when you gain profit and payable at your exit.
Administrative costs that come with your investment. In order for the investment to be finalised and managed, extensive legal, accounting and auditory work is required. This is payable in the early stages of your investment process, and is directly correlated to your participation in the newly formed SPV.
Investment costs (%)
The costs you pay when you enter the investment. These costs are composed of:
(i) costs related to the actual subscription of the shares/parts
(ii) the costs related to the underlying asset (if any; such as locator and agent commissions, notary fees, property taxes and other acquisition charges).
Exit costs/sale of shares (10%)
The costs you pay when exiting the investment (calculated as 10% applied to the difference between the amount at which the sale will be made and the initially invested amount)
They are directly proportional to the invested amount.
The costs you incur during the investment holding period (SPV management fee)
It refers to a total annual cost of SPV administration of approximately 3,000 Euros and to a cost of registering the SPV of approximately 1,500 Euros. The costs are paid, the first time, in advance for 3 years, when you become a shareholder of the SPV. Starting from the 4th year, the annual cost of 3,000 Euro will be paid in advance, at the beginning of each year.
The amounts paid by each investor are calculated in direct proportion to each investor’s ownership in the SPV.
Our team of financial experts uses an internally designed Matrix Method to evaluate and get the startups a step further in their process to start raising money. The vetting process is based on a proven framework, is highly accurate, and requires a proper business plan, pitch deck, and other information contributing to the proposed valuation cap, future scalability and business development estimations.
Here is the set of criteria we use to evaluate the investment opportunities before listing on our platform:
Investability & investment terms — How investable is the company? What are the perspectives about this round? How has the company financed itself to date? Are there notable investors backing the company’s efforts?
Novelty in the competitive edge – What is the company’s core competitive advantage? How reliable and stable is this advantage in a changing dynamic market?
Viable business model – How the company capitalises and monetizes? What are the long-term perspectives and how do the numbers look? What about the company growth and business model validation since the launch? (users, revenue, retention, etc.)
Efficient market rate – We size the market opportunity rate based on the company’s insights and market data. Does the go-to-market strategy match the market status and estimates?
Stability of the product – How robust are the core features of the product? What are the steps related to product road map and how does this translate into rapid growth, scalability, market adoption and retention?
Traction & Team – How do the company’s community and user base look, and are the marketing efforts put in place for the company’s growth? What does the team look like? Do they have complementary skills? What is their background?