Analyst Report: Upgrade for access EquityMultiple Breaks New Ground in the Real Estate Investing Space

EquityMultiple created a platform where investors can access real estate investment opportunities. And it has something unique to offer.

Company: EquityMultiple
Security Type: SAFE
Valuation: $90,000,000
Min Investment: $100
Platform: Wefunder
Deadline: Apr 30, 2023
Andy Gordon - February 7th, 2023

Put Your Money Where a House Is

This Analyst Report was co-authored by KingsCrowd Investment Research Manager Olivia Strobl.

It’s always fun when I come across other companies that share KingsCrowd’s goal of making investing more accessible. Simplifying alternative asset investing — like real estate, startup, collectibles, and art investing — is key to helping people build lasting wealth. That’s why I was eager to cover EquityMultiple, a real estate investing platform. 

EquityMultiple was founded in 2015 by Charles Clinton and Marious Sjulsen. Currently, it lets accredited investors access properties valued between $5 million and $40 million. In other words, you won’t see single-family homes or commercial properties worth hundreds of millions. Instead, portfolio properties include multi-family, office, retail, industrial, condominium, and apartment complexes. 

In order to diversify real estate investing, EquityMultiple offers individual and pooled investment options as well as a range of different risk profiles for deals. Investors choose from three main kinds of real estate investments: a diversified portfolio of properties, single properties, or notes (more on this last one later). Like in online startup investing, investors can choose from a range of investment vehicles within these options, including equity, preferred equity, and debt. Investment minimums are typically $5,000 or $10,000 depending on the product (notes or direct investments), with fund investing minimums sitting at $20,000.

EquityMultiple generates revenue in a few ways: upfront fees for the use of tech and diligence which are paid upon close of investment, ongoing asset management fees from investors, and one-time incentive fees sourced from profits earned by a developer or investor. Fees vary by product, but for direct investments, annual fees are typically 1% or less. Most equity investments have either a 1% annual asset management fee or a flat annual service fee of $250. 

Multiple revenue streams, some transactional and others recurring, is an ideal business model for minimizing risk — cluing us in that EquityMultiple knows what it’s doing.

Pay Annually - save 17%

This content requires: Edge

Data-driven startup investment ratings, AI analyst reports, and portfolio company exit and failure tracking

30 /month
25 /annually

What's included

  • Everything in Free plus
  • Data-driven investment ratings and AI analyst reports
  • Advanced company search table (with ratings and reports)
  • Markets page filters and historical industry data
  • Startup investment exit and failure tracker

Recent Analyst Reports

Analyst Report
Teeccino Is Ready for Explosive Growth

Teeccino Is Ready for Explosive Growth

Teeccino, a coffee alternative, has achieved product-market fit and is looking for explosive growth in the coming years.

Teddy Lyons Teddy Lyons

Teddy Lyons

Analyst Report
Zencastr Tackles Advertising and Monetization Problems for Podcasts

Zencastr Tackles Advertising and Monetization Problems for Podcasts

Zencastr, despite having just a few months of runway, has an impressive product that solves some major pain points for podcasters.

Olivia Strobl Olivia Strobl

Olivia Strobl

Analyst Report
Skillest Brings Golf Amateurs and Pros Together in the Best Way

Skillest Brings Golf Amateurs and Pros Together in the Best Way

Remote golf coaching app Skillest is attracting a growing population of golfers with enthusiastic coaches and free advertising.

Teddy Lyons Teddy Lyons

Teddy Lyons

Give your startup investing an edge by creating a free KingsCrowd account and getting started today.

Get a free weekly Pitch Review!

Sign up for our 3 minute newsletter with fresh takes on the top-rated investments and key startup trends you should know.

We care about the protection of your data. Read our Privacy Policy.