Guidelines For Starting An Equity Investments Group

Starting an equity investment group or an equity funding group is an exciting way to plan for your financial future, whether its setting yourself for your dream vacation, purchasing a new home, or saving up for your retirement. Essentially, an equity investment group is a group of people that come together, pool their financial resources, and put money into various securities and assets for long-term residual profit. Here are some tips to getting your group started.


Leadership is crucial for any group, but especially equity investment groups. Your leadership should have a strong understanding of whatever area you plan to invest in, whether it is long-term stock investment or flipping real estate. There should be an over-all ruling board (rotating membership optional), each with various appointed duties such as treasurer, asset manager, etc., and this board should be able to come up with the rules and by-laws that will maintain your group (though everybody in the group will always have a say in these things).

Establish Membership Rules Early

One of the first things you need to set up are membership rules and by-laws, the earlier the better. You need to decide the maximum number of people allowed in the group, the minimum allowed before disbanding, minimum investments required, etc. Also, in order to keep the group working together, and make sure everybody is informed and contributing, some means of regular communication needs to be established, whether it’s a monthly face to face meeting, regular web conferences via webcams, etc.

As hard as it might be, you also have to have rules set down for delinquencies, withdrawals, etc. when participation requirements aren’t met. Just be careful about how quickly you dismiss a member; remember that the success of your group depends on maintaining that pool of resources. 

Choose Your Investments

What sort of equity investment group you are will depend on what you decide to invest in. An equity funding group is where the investors’ group funds are pooled and put into funding a project, company, etc. with guarantee of high return when profit is made. Or go into investors group securities, where the money is put into stocks, bonds and other long-term, high yield securities. Of course, you can always dabble in a bit of everything.

Following these guidelines will help your equity funding group to stay on course and maximize profit while helping to navigate around any bumps down the road. 



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