Although it is not legally required, most capital-raising SPVs will want or need to aggregate the funds from their investors into a bank account before they send these funds on to the target company or before they complete the asset purchase. This step requires SPV Administration expertise.
Opening a bank account is a deceptively simple step in the life cycle of your capital-raiding SPV. It is not as straightforward as walking into your local bank branch, showing your driver’s license and filling out a simple bank account application. In order to create a bank account for your capital-raising SPV, the bank will require the following verification that you are a valid legal entity: entity creation certificates, which we detailed in STEP 1; entity documentation, STEP 3; and entity EIN number, STEP 4.
This is further complicated by the reality that not every bank has the expertise to set up and maintain accounts that will enable SPV entities to aggregate their funds, deploy their capital and perform all the other tasks required for your entity to fire on all cylinders. Assure has done the heavy lifting to identify and establish relationships with banks that are able and willing to effectively support capital-raising SPVs. Working with Assure to set up and manage your SPV will allow you to avoid the frustration of delays in getting your SPV up and running at the stage of setting up your bank account—and has the potential to save you from a number of unpleasant banking surprises as your entity progresses.
Now that you have the bank account for your capital-raising SPV, you are ready to ONBOARD INVESTORS.