How Uber's Earliest Investors Cashed In On A 1,700,000% Gain On IPO Day

Uber Technologies Inc. held one of the largest IPOs of all time, valuing the company at $68 billion. Interestingly, its valuation during its first funding round was a mere $3.86 million. This means Uber’s earliest investors saw a payday of 1,761,558% on IPO day. While all of Uber’s initial investors were accredited and invested through private funding rounds, changes in federal law now allow anyone to invest in high-growth startups on platforms like StartEngine. Investors can even invest in StartEngine itself for a limited time.

Click here to invest in StartEngine.

Uber's early investors include magnates like Jeff Bezos, Goldman Sachs, and Chris Sacca. In fact, of the $20 billion Uber collectively raised going into IPO, none of that was from retail investors. This is because it simply wasn't legal at the time, and only the rich could get involved. 

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For nearly eight decades, only “accredited investors” could invest in early-stage companies like Apple Inc. in the 1970s, or Uber and Meta Platforms Inc. in the early 2000s. Now, changes in federal law enable anyone to become a venture capitalist in under 10 minutes with as little as $100.

Startup investing is a high-risk, high-reward diversification option. Many startups fail, but those that IPO and make it big yield substantial gains for investors. For example, a $100 investment in Uber’s earliest round would have made you a millionaire. While this outcome is rare, it demonstrates the potential for savvy investors.

This emerging industry, called “equity crowdfunding,” enables anyone to invest in top startups. New users can even get four shares in StartEngine just for signing up. Platforms like StartEngine have dozens of startups on the site to invest in, and they recently released a list of 40 companies that have exited, meaning some investors are certainly sitting on some respectable gains.

Equity Crowdfunding has seen continued success since becoming legal in the U.S. For example, over $700 million has been raised on the StartEngine platform alone. And StartEngine recently released their acceptance rate for startups applying to the platform: 1.5%. Meaning the platform is helping distill the top raises for investors. 

For investors looking to get started, click here to invest in StartEngine. 

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Reg A+ offering made available through StartEngine Crowdfunding, Inc. No broker-dealer or intermediary involved in offering. This investment is speculative, illiquid, and involves a high degree of risk, including the possible loss of your entire investment. Please see the most recent Supplement, Offering Circular and Related Risks for more information.

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