RealtyShares will usually agree with a sponsoring real estate company as to an initial targeted raise amount, but the actual raise amount may be less or more than such targeted sum. If the amount raised falls short of expectations, then it will be up to the sponsor as to whether it wants to accept the lesser amount and look to other investor sources to make up the shortfall. If an investment opportunity is oversubscribed, then RealtyShares will discuss with the sponsor whether RealtyShares might receive a larger allocation to RealtyShares investors, and if the sponsor accommodates such request then the overall raise amount will be greater than originally anticipated.
If the RealtyShares raise falls so short of the targeted amount that the sponsor determines to reject the subscription from RealtyShares investors, then 100% of any funds debited from investor accounts will be returned to those investors. Generally, however, since we do not debit funds until a project nears a scheduled closing date, we will know in advance of any such debit whether the investment subscription is going to be accepted by the sponsor.