This week’s Investment Roundtable dives into two key topics: the closure of TruCrowd, a longtime funding portal, and the comparison of public vs. private revenue multiples in crowdfunding. Join Brian, Teddy, Léa, and special guest Scott Kitun as they explore what TruCrowd’s shutdown means for the industry, how investors can navigate platform closures, and what revenue multiples reveal about private vs. public market opportunities.

What happened to TruCrowd?
TruCrowd, a longtime crowdfunding platform, officially announced its closure in early January. With minimal deal activity in recent years and prior legal issues, the closure raises questions about the future of smaller platforms in the space.

How does a platform closure affect my investments?
Investments are typically made directly with the issuer, not the platform, meaning your shares should remain intact. However, the closure may complicate communication with issuers, especially if the platform facilitated dividends or investor updates.

What are revenue multiples, and why are private ones higher?
Revenue multiples represent a company’s valuation divided by its revenue. Private companies often have higher multiples because investors price in future growth potential, especially in high-growth sectors like energy or tech.

Why are energy companies so popular in private markets?
With increasing demand for electricity from electrification, AI, and data centers, energy startups are viewed as having significant growth potential. Private investors often value these opportunities higher than the public markets.

Should I always avoid platforms with financial struggles?
Not necessarily, but platform stability should be a factor in your decision-making. Check how the platform communicates with investors and facilitates ongoing issuer updates before committing funds.