Legal
Risk factors
Private-market investing is risky. Read every issuer's offering documents before subscribing. These are the general risks.
The general risks
You can lose everything
Private companies fail at high rates. An investment in any offering on the platform can result in the complete loss of invested capital, and no diligence record changes that.
You cannot easily sell
Securities purchased in private offerings are illiquid. There is generally no secondary market, transfers are restricted by law and by the issuer's documents, and you should expect to hold to an exit that may never come.
Your ownership can shrink
Later financing rounds can dilute earlier investors, and the terms of later rounds can carry preferences that rank ahead of yours.
Projections are projections
Financial models in offering materials are estimates prepared by the issuer. Actual results routinely differ, sometimes completely.
Diligence is not endorsement
The Deal Box diligence standard is a documentation discipline. It does not mean an offering will succeed, and it is not a recommendation to invest.
Digital assets carry additional risk
Where offerings involve tokenized securities or digital assets, they carry additional technological, custodial, and regulatory risks, including evolving legal treatment.
Read alongside the platform disclosures.