Is there a possibility I will lose my investment?

Last Updated: Feb 08, 2015 09:57AM CST

Many of startup businesses fail and therefore investing in these businesses may involve significant risk. You might lose all, or part, of your investment. You should only invest an amount you are comfortable losing and should build a diversified portfolio to spread the risk.
 
For example, by dividing $2,000 into 10 separate $200 investments you are spreading risk. If 7/10 investments end up losing money, the three who provide returns may cover those losses many times over. But be aware: if a business you invest in fails, neither the company - nor truCrowd - will pay you back your investment.


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