If you’ve ever explored raising capital online, you may have come across the term Testing the Waters (TTW). Think of it as a dress rehearsal for your community round — a way to gauge AND build investor interest before you formally start raising.
Done well, TTW can validate demand, build momentum, and even shorten your fundraising timeline.
Today, we’ll explore why TTW matters, two proven approaches you can take, how the rules differ between Reg CF and Reg A, and how Issuance makes it easier than ever to run a branded, high-converting TTW campaign
Why TTW is Worth Your Time
- Gather Real Data Before You Decide: Even confident founders benefit from data. TTW can gauge how much capital your community is willing to commit — and how to best convey the opportunity so they get as excited as you are.
- Parallel Process Your Raise: Why wait until your financial audit is finished to start marketing? With TTW, you can build investor momentum while you work on compliance, cutting your overall raise timeline in half.
- Capitalize on Timely Opportunities: Got a product launch or media coverage coming up? TTW lets you ride the wave by launching a live page quickly — sometimes in under an hour — without waiting for your filing.
TTW Rules: Reg CF vs. Reg A
Both Regulation Crowdfunding (Reg CF) and Regulation A allow Testing the Waters — but the rules aren’t identical.
The Payoff of a Successful TTW
When TTW is executed well, it doesn’t just validate demand — it sets you up for a stronger, faster raise.
- Warmer, more informed leads: Proper engagement and nurturing give investors more time to understand your business and the opportunity. This often results in larger or earlier commitments, especially when perks or bonuses are implemented effectively.
- Starting with momentum: While few investors want to be “first money in,” showing early interest creates social proof. This makes every future marketing effort more efficient and persuasive.
- Confidence for both sides: Investors see they’re joining a raise with traction, and founders launch knowing there’s a strong foundation of support.
How Issuance Makes TTW More Powerful
Many TTW campaigns suffer from clunky investor flows, generic branding, and poor follow-up. Issuance fixes that.
Our white-label Testing the Waters platform lets you:
- Launch a branded TTW portal that looks and feels like your website — not ours.
- Embed your pitch materials, corporate video, or other collateral in one clean, mobile, and desktop-optimized page.
- Capture emails and engage with leads that come to your TTW page
- Accept non-funded commitments to gauge total interest and prioritize any direct investor outreach.
With Issuance, TTW is a simple step. A high-converting marketing tool that resonates with your customers and builds early investor confidence.
Ready to ‘Test The Waters’ on your capital raise?
Schedule a demo with Issuance to learn how our platform can power your fundraising success: https://www.issuance.com/forms/platform-demo
