Propel(x) is an investment platform which aims to democratize the venture capital asset class for accredited investors. The platform focuses on curated companies engaged in deep technology (deeptech) and financial technology and employs a rigorous review process before listing them on the platform. While high fees are applied to users investing as a syndicate, Propel(x)’s $5,000 minimum investment makes these investments much more accessible.
- Accredited investors (Angel investors, family offices, venture capitalists and funds)
- Investors searching for alternative investments to diversify their portfolio
- Highly curated selection of investments
- $5,000 minimum investment when investing as a syndicate
- Personalized assistance available from investor relations professionals
- 10% carry fee on syndicate investments
Propel(x) Ratings at a Glance
Invest in Startups With Propel(x)
Have you ever wanted to be at the forefront of cutting-edge investing? Startups can provide investors with massive opportunities for growth, allowing you to enter on the ground floor of exciting new market influencers. Unfortunately, most of us do not have the millions of dollars sitting around in cash to explore opportunities as a venture capitalist. Enter Propel(x), an innovative investing platform that allows accredited investors to access a curated selection of early stage, growth stage and pre-IPO start-up companies. Propel(x) focuses on providing you with access to a professionally reviewed set of potentially promising deeptech and fintech investment opportunities to diversify your overall portfolio.
Propel(x) currently provides curated investment options in the following sectors:
- Energy and Green Technologies
- Aerospace and Transportation
- Life Sciences
- IT and Communications
- Industrial Technologies
- Food and Agriculture
- Financial Technology
Unlike other investment equity crowdfunding platforms that list a wide selection of startups to invest in, Propel(x) offers a highly curated list of investments. Listings on the platform are offered through Propel(x)'s subsidiary, Hubble Investments, a registered broker-dealer and member of FINRA/SIPC.
Companies listed on the platform are sourced from Propel(x)’s network of angel investors and Silicon Valley professionals, and the startups you will have access to have already received investments from reputed venture capitalist firms such as Founders Fund , Data Collective Ventures, Thiel Foundation and Khosla Ventures. Beyond this, Propel(x) also helps you make informed investment decisions through their detailed diligence reports thus saving you energy and time from doing your own exhaustive research.
Propel(x) focuses on offering its users access to “ESG investments,” which the platform describes as tech startups spearheading innovations that may potentially change the way people live such as the way we live, work and commute. To qualify for listing on Propel(x)’s platform, startups must meet the following criteria:
- Be a company with a primary product in the deep tech or fintech sphere (focused on new scientific discovery or technology development)
- Have full control over its intellectual property
- Be connected to reputable research institutions, national labs or other type of professional networks
- Have a working prototype or a significant amount of experimental data to support its research
To open an account with Propel(x) and begin investing, you will need to be an accredited investor. For individuals, you must either earn a regular annual income of at least $200,000 or possess a total net worth of at least $1 million. This requirement is a legal obligation to invest in the listings Propel(x) selects, as startup investments do not have the federal registration and financial oversight required for investing by retail investors.
Propel(x) offers a few different methods for contacting customer service.
- By phone: You can get in touch with the Propel(x) team via phone by calling 833-277-6735.
- Via chat: You can contact Propel(x) via chat through its homepage. In the right bottom corner of its website, you will see a small yellow chatbox option. Click on this bubble to connect with the chat. If staff is not available to chat with you, you can
alsostill send your message as an email for a later response.
- Concierge Onboarding - Propel(x)'s investor relations team leads this effort and once you have joined the platform, spends time with you to know your personal investment goals and help with scenario planning.
Propel(x) allows its users to invest in the startups listed on the platform directly as an individual or as part of a syndicate. When you invest as part of a syndicate, you pool money with other investors on the platform by forming a limited liability company (LLC). The LLC itself invests as a single entity, which appears on the company’s capitalization table. The benefit of investing as a syndicate is that you can invest as little as $5,000 in each investment as opposed to the higher requirements for individual investors.
If you invest as an individual, you will pay a 2% platform fee when you invest, and you are not subject to any fees from Propel(x) when you exit your investment. You are required to make a minimum investment of $10,000 per deal when you invest as an individual. However, specific deals on the platform may have higher minimum investment requirements for individual investors. If you invest as part of a syndicate, you’ll pay a 7.5% platform fee at the time of investment. You’ll also pay a 10% carry fee upon exiting your chosen investment. This means that if the investment you have chosen makes a return to you, you’ll owe 10% to Propel(x).
Some of the major benefits that might draw you to open an account at Propel(x) may include the following.
Lower financial entry requirements for pooled investments: One of the most unique benefits that Propel(x) offers is providing you with access to tech startup investing with lower financial requirements. While each company sets its own minimum investments, you may invest as a syndicate for as little as $5,000, which is significantly less than what you would usually need to invest directly in each company outside of the Propel(x) platform.
Highly curated investments: Propel(x) does not select just any tech startup for its investing platform. Companies must be producing or researching breakthrough technology that has the potential to change the world to qualify for startup investing through Propel(x). With rigorous review standards in place, you will have a portion of your due diligence delivered to you through Propel(x)’s summaries and platform. You will also receive regular investment updates from Propel(x) as well, keeping you up to date on your portfolio’s movements.
Personalized diligence assistance: The Propel(x) platform allows you to thoroughly evaluate investments before you risk your own capital. Once confirmed as accredited, you can request access to deal evaluations and speak directly to the founders of various companies regarding financials, risk management and future plans.
Getting started with Propel(x) is simple. Answer a few quick questions about your income, your status as an accredited investor and the type of investments you are looking for. Most users will be able to open an account in less than 5 minutes.
Propel(x)’s online app is streamlined, well-designed and easy to navigate. After opening your account, you can begin browsing investment opportunities that are currently fundraising through the platform.. You can also view closed deals or sort by investment opportunities or recent investor activity. After clicking on a deal, you can read more about the benefits and risks of the investment, learn more about the startup’s management team and track how much a startup has already raised.
Propel(x) vs. Competitors
Alternative investments (like startup investing) can add a unique layer of diversification to your overall investment portfolio. Benzinga offers insights and reviews on the following alternative investment platforms. You may want to consider beginning your search with a few of the links below.
Propel(x) is a simple and straightforward platform that provides accredited investors access to a unique set of curated investment opportunities. By focusing on startups within the deep tech and fintech sphere, Propel(x) empowers investors to fund breakthrough innovations such as finding potential cures for debilitating diseases, creating abundant energy for all, and even taking us into space. Propel(x)’s $5,000 minimum investment is significantly lower than investing in the fund directly as an individual — though individual deals may have their own minimum investment size. While not for novices, experienced investors will find a wealth of potential in Propel(x)’s curated selections.
Frequently Asked Questions
Who invested in Propel(x)?
Propel(x) is funded by nine investors. Major investments include funds from ZhenFund, MIT Alumni Angels of Northern California and Franklin Templeton.
Where is Propel(x) headquarters?
Propel(x)’s current headquarters is located in 1 Franklin Parkway, Bldg # 930/1 – Fintech Suite, San Mateo CA 94403