The first status for a new raise offer will be the Ready to invite step. Once you are ready to send out a new offer, you can click on Invite and you will be taken through a couple of confirmation steps before anything is sent out to your investor -
Review and Confirm the investors contact information:
Confirm the investment amount added is correct:
Preview the contract:
Send for signing! This will send the investor an email with the Offer to Invest.
After you send out the new offer, there are four different status' the offer will display before the investment is finalised.
'Waiting for stakeholder to confirm' - this means the investor has not taken any steps in accepting the offer. When the investor logs in to accept the offer, the first thing they need to do is confirm they would like to proceed with the investment amount that was added for them.
'Waiting for stakeholder details' - after confirming the investment amount, they will see a button labelled 'Add Details' at the top of the offer, they need to do this step before being able to proceed with viewing and signing the offer.
'Waiting for contract' - this means they have completed the 'add details' step but they have not clicked on the next button, which is 'View contracts'. When they click this, it will generate the contract (i.e. Subscription Agreement, SAFE Note or Convertible Note) and it will be ready for the investor to sign.
'Waiting for signatures' - this means the investor has opened the contract but they exited without signing. You will be able to track all signatories through here and through the Pending Signatures tab under Documents. After the investor has executed the document, an automatic email will be sent to the company director/s to countersign the agreement.
'Update payment' - once the document has been signed, it's time for the investor to transfer the funds. The bank details will be displayed in the offer in their Cake account and you can also push a notification to them through the Actions tab of your Cake account to remind them it's time to pay.
'Issue Shares' or 'Issue Note' - for an Equity raise, after confirming payment has been received, it's time to issue the shares. Clicking this will prompt you to enter the date the shares are to be issued and a Share Certificate will be generated. See this article for steps to ensure you Share Certificate template is setup. This will also issue the investor with the relevant number of shares in the Cap Table. For a note raise, you will be presented with the Issue Note button. Clicking this will add the investor as a Noteholder through the Notes tab under equity. It will not issue the investor with a certificate but will add the details into their investor portfolio.
The investor will have a progress bar at the top of their offer, which they should follow to proceed with accepting the offer to invest. For more information for your investors, see here on How to Accept an Offer to Invest.
