Software for Private Placement Deal Management

Software for private placement deal management helps investment companies automate fundraising, securities underwriting, and tax reporting. The software can either be standalone if the company has all of the appropriate licenses and in-house expertise or integrate with multiple third-party tools to facilitate investment  management.  Software for private placements  needs to work as an online ledger, have automated payment processing, and offer data management. 

Platforms that operate in the private fundraising sector often work with a trustee, bank or a custodian. For example, a collaboration with a custodian allows private investors to safeguard their assets and automate reporting to the SEC or FCA. Normally, custodians offer a self-directed individual retirement account (IRA) or (individual savings account) ISA investing options which allows investors to have tax benefits.

In this case, the software for private placements can be very useful as it could integrate with a custodian’s ecosystem. Through a fundraising platform, both investors and fundraisers would request to open an account; a custodian would handle administrative work and all of the operations would be visually processed in the portal of a private placement management company. 

Understanding private placement crowdfunding market

Let’s explore what a private placement crowdfunding market offers to manage such deals effectively, see what features tech companies provide, and what type of platform can help you offer debt or equity securities to a pre-selected number of investors only.

But before we continue exploring the topic, let’s recap what constitutes private placement deals:

  • A business does not publicly offer equity or debt securities;
  • The SEC doesn’t require a business to register privately offered securities;
  • Potential investors are not the general public but accredited ones.

The specifics of private fundraising are quite controversial. While offering less costly and more management-friendly options, private placements are harder to market which requires platforms to have a pool of highly-engaged investors.

The hardest part is to keep the investors’ appetite and supply prospective projects they can support. In contrast, fundraisers that require capital can’t just wait for the money to come: they have to be presented to a group of high-net-worth investors that will help them achieve their business goals. 

Software features and challenges

With relatively fewer regulatory requirements, selling shares or debt to a small pool of sophisticated buyers and high-net-worth individuals would require robust tools to orchestrate the whole ecosystem. 

Regulation D offers flexibility for private placement offerings with its registration exemption. But businesses raising money through private placements need to do it through a private placement memorandum or PPM. 

The latter determines the goals, risks, and conditions of investments. This official document covers financial statements, bios of C-level executives, and details of the company’s operations among other info.

Quite often, a subscription agreement goes along PPM and details return on investments and the timeline of payoffs.

So a number one challenge for private placement software is to automate the management of such subscription agreements. Another challenge is legal changes and compliance which may require tweaking the software.

A very important feature of a crowdfunding platform for private placement is payment processing and KYC/AML procedures. A software vendor should be flexible enough to connect it with any 3rd party service and assist with proper customer verification to guarantee secure transactions and industry-specific client money management. 

In some cases, this can be fully processed with a custodian or a bank, however, some may prefer using alternative service providers.

Private placement  software providers

Proper risk management instruments, preservation of investment capital, and control of losses play a significant role in successful private placement deal management. Now let us look at what companies offer private equity management software and why their solutions lead the field.


Intralinks promises to improve fundraising through smooth workflows and seamless user communication. The company offers a solution to help businesses with ‘fast, transparent, and intelligent’ private equity fundraising. 

They claim that out of $2 of private capital raised globally half comes through Intralinks. Comprehensive reports help businesses monitor users’ interests and powerful branding capabilities to enhance marketing efforts.

eVest Technology

Incorporating digital PPMs, eVest Technology matches technology with SEC Reg D exemptions. From real estate and motion pictures to energy and cannabis, eVest connects supply and demand across multiple business domains. 

eVest’s offering is a 100% white label software that can help legal entities, individuals, or groups with fundraising and distributions of returns online if they choose to license its software. 


Empowering the top-level capital management firms, Altvia offers investment companies a wealth of institutional knowledge and tools to build rapport with investors. The company has technical capabilities to create a wide array of deal-supporting documents. 

Internal and external reports built real-time allow managers to track fundraising progress. Altvia’s software helps investment businesses automatically create, circulate, and monitor PPMs. The software is an end-to-end solution that takes care of emails, projected capital expenditures, and any other team activity. 


With its free-for-ever basic plan, the company boasts of a structured and efficient approach to capital raising. One of the core features of FounderSuite is its Portfolio Dashboard, where stakeholders can track status of funding and see progress reports for all the deals in one place with quick portfolio visibility.

Investor CRM is another tool that helps FS clients to manage their investor pipeline, have instant funnel visibility, and evaluate capital raising efficiency. Apart from free of charge basic offering, FounderSuite has Silver, Gold, and Agent monthly membership plans to choose from.


The UK-based firm offers Private Placement Software from £10.000 charging + 0.2% transaction fee. Its FCA-regulated offering is a feature-rich product compliant in more than 50 countries around the world; it has a secure data room and order book management.

Additionally, The firm offers automated KYC/AML, cash escrow, and quick onboarding. Globacap taps into complex regulatory and administrative aspects of private placements offering reliable support to multiple PE funds and VCs globally. 


LenderKit is an investment management software which incorporates the most essential components in its all-in-one white label product including admin back office, investor and fundraiser portal, marketing site.

There are different pricing models including subscription, lifetime license and from-scratch development.

The solution gives access to important data insights, so you can make informed decisions, align your strategy with current trends, and close more online deals. LenderKit can be customized to your needs and offers exclusive solutions for international investment management firms.

Final thoughts

Perhaps unsurprisingly, having a solution that combines technology and efficient service is likely to help your investment firm make the most of an equity crowdfunding platform. In addition, you’re guaranteed to stay on the right side of regulations and always keep the software up-to-date to be competitive and scalable. 

Each solution has its unique benefits and flaws, so it’s always good to research thoroughly. If you want to add LenderKit to the list of potential vendors and see it in action, schedule a demo.

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