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Equity crowdfunding (ECF) platform definitions quity crowdfunding (ECF) platform
definitions

Refer to Guidelines_on_Recognized_Market_(R11-2024) pg29

Terms	Definitions
ECF operator	a Recognized Market Operator (RMO) who operates an equity crowdfunding
(ECF) platform	an equity crowdfunding platform registered by the Securities Commission (SC)
Issuer	a person who is hosted on an ECF platform to offer its shares on the ECF platform
Retail Investor	Read here
Angel Investor	Read here
Sophisticated Investor	Read here
Trust Account	A trust account is a financial account managed by a trustee on behalf of others. Trustee List
LLP (Limited Liability Partnership)	LLP stands for Limited Liability Partnership, used for equity structure arrangements. Read more
Partnership Agreement	The Partnership Agreement is an agreement between equity crowdfunding investors to form a Limited Liability Partnership (LLP) and subscribing to an agreed number of the shares of the Issuer. The Partnership Agreement also outlines the details, the rights, and responsibilities of all partners under the LLP.
Latest practicable	means a date whereby the information disclosed should remain relevant and current as at the date of issue of the prospectus
Microfund	means an entity that meets the conditions set out in below: (a) is registered with the SC as a venture capital company; (b) has a specified investment objective; and (c) only raises funds from sophisticated investors and angel investors.

Terms	Definitions
Shares	A share represents a unit of ownership in a company or financial asset. Holding shares in a company makes you a shareholder, giving you certain rights and benefits based on the type and number of shares you own.
Ordinary Shares (Common Stock)	Provide ownership with voting rights, variable dividends, potential for capital appreciation, and lowest priority in liquidation.
Convertible Preferred Share	Offer fixed dividends, no voting rights, potential for conversion to common shares, and higher liquidation priority than common shares.
Redeemable Convertible Preference Shares (RCPS)	Combine features of both convertible preferred shares and redeemable preference shares, offering fixed dividends, conversion to common shares, redeemable by the issuing company, and higher liquidation priority than common shares.
Dividends	A dividend is a distribution of a portion of a company's earnings to its shareholders. Dividends are typically paid out in cash, but they can also be distributed in the form of additional shares of stock or other property.
Pre-Money Valuation	This is the value of the company as assessed by third party valuer before any external investment (from the crowdfunding campaign) is added.