Plain-English Guide To Fundraising Terms

Fundraising Structure

Fundraising structure describes the standard way talent and backers interact on 3POMarket, usually a $200,000 raise in exchange for 10 percent of defined earnings over six years. It matters because everyone knows the terms up front, which makes comparisons easier and avoids one-sided, hard-to-understand deals.

Defined Earnings

Defined earnings are the income types that count toward the 10 percent share, such as NIL deals, salaries, streams, tours, or similar revenue. They are clearly listed in the contract. This clarity protects both talent and investors, since everyone can see what is included and how payouts will be calculated.

Escrow Verification

Escrow verification means earnings first pass through an independent account managed by a trusted third party. That party confirms amounts are correct before funds move to investors and talent. This reduces the risk of missed or misdirected payments and builds confidence that the numbers behind distributions are accurate.

Auditable Ledger

An auditable ledger is a record of all key transactions on the platform, including investments, earnings received, and payouts made. It can be checked and verified later. This matters because it creates a transparent paper trail that supports trust, oversight, and clear reporting for both talent and investors.

AML / KYC Compliance

AML and KYC compliance refers to checks that confirm who users are and that funds are not linked to financial crime. This includes identity verification and screening against risk lists. With a CAMS-certified compliance officer designing this framework, users gain added comfort that the marketplace treats regulation seriously.

Regulated Crowdfunding

Regulated crowdfunding is a way for many individuals to invest smaller amounts through a portal that must follow specific securities rules. It sets limits, disclosure standards, and reporting duties. This matters because it gives athletes, creators, and fans a clear, legal structure for sharing in future earnings, not informal promises.