Videomaker – Learn video production and editing, camera reviews › Forums › General › Video and Film Discussion › Finding Investors › This first piece of advice
This first piece of advice I have to give is to NEVER use the words "inventor" or "investment" when soliciting backing unless your solicitation has been submitted and approved by the Securities and Exchanges Commission. While I no longer hold any finance licenses, I was at one time licensed and registered with the SEC. Using these terms is something the SEC frowns upon and will fine heavily as it could be considered fraud. While you aren’t selling stocks or bonds, you are soliciting an "investment opportunity," and as such, whenever you mention the words "investment" or "investor," you must at once offer an investment prospectus to the potential client at the time of contact. You might think that none of this applies to a filmmaker, but trust me, it does.
To circumvent this potential problem,simply substitute words such as "backing," "funding," or "financing" in your fundraising presentation.