If you have decided that a rollup vehicle (RUV) is the right structure for your round — you want multiple angels in a single cap table entry, no carry on your investors, and a clean close without weeks of legal coordination — this guide walks you through exactly how to do it on Allocations.

This is not a general explainer about what rollup vehicles are. It is a practical, step-by-step walkthrough written for founders who are ready to set one up and want to know precisely what to expect at each stage.

By the end of this guide you will know what information to have ready before you open Allocations, what happens during each step of the formation and onboarding process, how to invite investors and track commitments, what Allocations handles automatically on your behalf, and what you need to do (and not do) to keep the process moving.

What Allocations Handles So You Do Not Have To

Before getting into the steps, it is worth being explicit about the division of labor. One of the most common questions founders have is: what do I actually need to do myself versus what does the platform handle?

Allocations turns the multi-week, multi-provider process into a single streamlined workflow: formation in hours as a Delaware LLC, integrated banking for fast fund flow, digital investor onboarding with KYC and AML plus subscription documents, automated Form D and blue sky filings, tax reporting built in with Form 1065 plus digital K-1s, and dashboards for sponsors and investors.

Concretely, here is what Allocations handles for you:

Entity formation as a Delaware LLC, including the operating agreement and all governing documents. Bank account setup for the rollup vehicle, linked directly to investor onboarding so funds flow without separate coordination. KYC and AML verification for every investor, run automatically during the onboarding flow. Accreditation collection and verification for each participant. Digital subscription document generation and e-signature. Form D filing with the SEC within the required 15-day window. Blue sky notice filings in every state where your investors reside. Annual K-1 preparation and distribution to each investor. Annual Form 1065 partnership tax return filing. Ongoing investor communications and document access through the LP portal.

Your job is to provide the deal information, invite your investors, and make decisions when they are required. Everything operational runs through the platform.

What You Need to Have Ready Before You Start

Gathering these items before you open Allocations will make the process significantly faster. Nothing in this list requires legal work. It is information you should already have or can assemble in under an hour.

Your company's legal information. You need your startup's full legal name exactly as it appears in your state formation documents, your company's state of incorporation (typically Delaware), your company's EIN (Employer Identification Number), and your registered agent's name and address.

The terms of your round. You need to know the investment instrument you are using: equity, SAFE, or convertible note. If it is equity, you need the pre-money valuation and the price per share. If it is a SAFE, you need the valuation cap and the discount rate if applicable. You need the total target raise amount for the round and whether the rollup vehicle will be the entire round or one component of a larger raise.

Your carry and fee structure. Since rollup vehicles do not charge investors carry, this is simple: the carry to investors is zero. The cost of the vehicle is paid by the company. If you plan to charge any management fee on top of the platform cost, you need to know that amount, though most founders running founder-led RUVs do not charge a management fee.

Your investor list. You do not need exact amounts from everyone before you start, but you should have a list of who you plan to invite, their names, email addresses, and approximate check sizes. All investors must be accredited. If you are unsure about any investor's accreditation status, note that separately since they will need to self-certify during onboarding.

Your round timeline. Know your target close date. This affects how aggressively you need to follow up with investors and how you structure your communication.

Your company's bank account details. The rollup vehicle will wire funds to your company's bank account at close. Have your account number and routing number ready.

Step 1: Create Your Allocations Account

Go to allocations.com and create a founder account. The registration process captures basic information about you and your company. This typically takes fewer than five minutes.

During registration, you will provide your name, email address, and basic company information. Allocations uses this to verify your identity and link your account to your company's profile.

Once your account is created, you will land in the Allocations dashboard. This is where all of your vehicles live, including the rollup vehicle you are about to create.

Step 2: Start a New Vehicle and Select the Rollup Structure

From your dashboard, select the option to create a new vehicle. Allocations offers different vehicle types including SPVs, funds, and rollup vehicles for startups. Select the rollup vehicle option.

This matters because the rollup structure in Allocations is specifically configured for founder-led raises with no carry to investors, just as described in this guide. Selecting this structure ensures the documents, compliance flows, and investor communications are all appropriate for a founder-run vehicle rather than an investor-led syndicate SPV.

Step 3: Enter Your Deal Terms

This is the most substantive data entry step. You will provide the following:

Investment details. Enter the investment instrument: equity, SAFE, or convertible note. Enter the relevant terms such as valuation cap, discount rate for a SAFE, or valuation and price per share for equity.

Round size. Enter the total amount you are raising through this rollup vehicle. If you have a lead investor investing directly at a different amount, enter only the portion flowing through the vehicle.

Investor parameters. Set the minimum check size you will accept from any single investor. Setting a minimum of $1,000 or $5,000 depending on your situation is common. You can also set a maximum per investor if you want to cap any single participant's ownership through the vehicle.

Carry and fees. For a founder-led rollup vehicle, set carried interest to zero. The cost of the vehicle is borne by the company, not deducted from investor returns.

Target close date. Set the date by which you expect to have all investors committed and funded. This is used to structure your communications and generate appropriate deadline-aware reminders for investors.

Review everything on this screen carefully before proceeding. The terms you enter here become the binding terms of the vehicle. Changing them after investors have signed requires amended documentation.

Step 4: Entity Formation and Banking Setup

Once you confirm your deal terms, Allocations initiates the entity formation process. A Delaware LLC is created specifically to hold the investment in your startup. This entity will be the single investor that appears on your cap table.

With Allocations, sponsors get integrated banking rails linked directly to investor onboarding. The bank account for the rollup vehicle is set up during this stage and is directly connected to the investor onboarding flow so that when an investor completes their digital onboarding and funds their commitment, the wire routes to the correct account without requiring manual coordination.

Entity formation on Allocations typically completes within hours rather than days. You will receive the entity's legal name, EIN, and bank account details once formation is complete.

At this point your rollup vehicle exists as a legal entity. It has a bank account. It is ready to receive investors.

Step 5: Review and Approve Your Subscription Documents

Before you can invite investors, Allocations generates the rollup vehicle's subscription documents based on the terms you entered. These include the operating agreement for the LLC entity, the subscription agreement that each investor signs, and any applicable side letter templates.

Review these documents carefully. They reflect the economics and governance of the vehicle. Key things to verify include the investment amount and terms matching what you entered, the carry percentage being zero, the provisions around voting rights (typically either non-voting shares or proxy voting where one representative votes on behalf of the vehicle), the information rights provisions, and what triggers dissolution of the vehicle.

Most founders do not need to make changes to the template documents for a straightforward rollup vehicle. If your situation involves unusual governance requirements or specific LP side letter needs, this is the stage to address them.

Once you approve the documents, they are locked in and ready to be sent to investors as part of the onboarding flow.

Step 6: Generate Investor Invite Links

This is where the magic of the platform becomes visible. Rather than sending one generic link to all of your angels, Allocations lets you generate individual, trackable invite links for each investor.

Each link can be customized with a specific investment amount if you want to pre-set what a given investor is contributing, or left open for the investor to choose their own amount within your stated minimum and maximum. Each link is private and secure. No investor can see other investors through their link.

You can generate invite links in bulk for your entire list or one at a time. For a round with 30 investors, generating them in bulk and exporting the list is the most efficient approach.

Copy each investor's link and send it to them through whatever communication channel you use with them. Email, WhatsApp, text, or a personal message. The link takes the investor directly into the Allocations onboarding flow.

Step 7: Investors Complete Digital Onboarding

When an investor clicks their invite link, they land on a clean, professional investment page that shows them the key deal terms: what they are investing in, on what terms, and how much. Everything is private to them.

From there, the investor completes a guided digital onboarding flow. This is entirely handled by the platform. As the founder, you do not need to coordinate any part of this process.

The investor provides their personal information for KYC verification, including their name, address, date of birth, and government-issued ID if required. Built-in KYC, AML, and accreditation workflows help managers stay compliant across jurisdictions without relying on manual verification or external vendors.

The investor self-certifies their accreditation status. For most rollup vehicles structured under Rule 506(b), this is a self-attestation. The platform collects the representation and flags any investors who do not meet the standard.

The investor enters their investment amount, within the parameters you set, and reviews the subscription documents. They sign digitally. The entire signing process takes fewer than ten minutes for an investor who has their information ready.

The investor enters their banking information and schedules their wire or ACH transfer. The platform sends wire instructions automatically. Funds route to the rollup vehicle's bank account without any manual coordination from you.

As each investor completes onboarding and funds, you can see their status in real time on your Allocations dashboard: invited, viewed, committed, signed, and funded. You always know exactly where each investor is in the process.

Step 8: Follow Up on Uncommitted Investors

The most common reason rollup vehicles take longer than expected is not platform friction but rather investors who receive a link and do not act on it promptly.

Allocations provides built-in tools to send reminder messages to investors who have viewed their link but not yet committed or signed. Use these. Most angels are busy and a well-timed reminder that your close date is approaching is not pushy; it is helpful.

For investors who are slow to respond, a personal message from you explaining what they need to do and why the timeline matters is usually the most effective follow-up. Keep it simple: here is your link, here is what to expect, here is when we are closing.

Track your commitments in the dashboard. If you have a target raise of $500,000 and you can see you have $420,000 committed and signed with a week to close, you know you need to push four or five investors to complete their onboarding.

Step 9: Close the Round

When all investors are committed, signed, and funded (or you have decided you have enough to close with the investors who have completed onboarding), you close the round through the Allocations platform.

The platform runs a final reconciliation: verifying that all investor funds have cleared, that all KYC and accreditation checks are complete, and that all subscription documents are signed.

Once the close is confirmed, Allocations initiates a single wire from the rollup vehicle's bank account to your company's bank account. You receive one payment representing the combined capital of all investors in the vehicle.

Your cap table is updated with one new entry: the rollup vehicle entity. Every individual investor who contributed through the vehicle is held within that one entity.

Step 10: Compliance Filings Run Automatically

Within 15 calendar days of the first close, a Form D must be filed with the SEC. This is a legal requirement, not optional. Missing this deadline creates compliance risk.

Allocations auto-prepares and files Form D and blue sky filings for every SPV. Allocations You do not need to track this deadline yourself or engage outside counsel to manage the filing. Allocations monitors the timeline and files automatically.

Blue sky filings are submitted in every state where your investors reside. If your 30 angels are spread across 15 states, 15 separate notices go out. Each has its own fee and deadline. Allocations handles all of them.

You receive confirmation once the filings are complete. Keep these records. They are your documentation that the offering was made in compliance with federal and state securities law.

Step 11: Investor Access Through the LP Portal

Once the round is closed, every investor in your rollup vehicle gains access to their individual portal through Allocations. This is their window into their investment for the entire life of the vehicle.

The LP portal shows each investor their commitment amount, their ownership percentage in the vehicle, all of the documents they signed, and any updates you choose to send. It also shows their K-1 each year when it is prepared.

Allocations provides a modern LP portal where investors can track their investment status, access documents, and manage their relationship with the vehicle.

For your investors, this is the experience that reflects on you as a founder. A clean, professional portal where everything is organized and accessible signals that you run a tight operation. That matters for your long-term relationship with these angels, especially the ones you want to bring back for your next round.

Step 12: Annual Tax Reporting

Every year the rollup vehicle is active, Allocations prepares and distributes Schedule K-1 forms to every investor. The K-1 reports each investor's share of any income, gain, loss, or deduction from the vehicle for the tax year.

For most years when the investment is simply held and there are no income events (no exit, no dividend, no distribution), the K-1 is straightforward. For the year of an exit, the K-1 is more complex and reflects each investor's share of the realized gain.

Allocations also files the vehicle's annual Form 1065 partnership tax return with the IRS. You do not need to hire outside accountants to handle this separately.

K-1s are delivered through the LP portal so investors can access them on demand. You do not need to email tax documents individually to 30 people.

What Happens at Exit

When your company is acquired, goes public, or has another liquidity event, the rollup vehicle receives its proportional proceeds as a single entity. Allocations coordinates the distribution from the vehicle to each underlying investor based on their ownership stake.

If the exit is a cash acquisition, Allocations processes the distributions and sends wires to each investor. If the exit involves in-kind shares (public stock after an IPO), Allocations supports the in-kind transfer process. If the investment was in a crypto-native project and the exit involves tokens, Allocations supports token distributions natively.

Each investor receives a final K-1 reflecting their income for the exit year. Once all distributions are made and final tax filings are complete, the vehicle is formally dissolved: the Delaware entity is cancelled, the bank account is closed, and all records are retained.

Common Questions Founders Ask During Setup

What if an investor wants to invest more than my per-investor cap? They cannot do so through the invite link, which enforces the cap you set. If you want to accommodate a larger check from a specific investor, you can either adjust the cap for that investor's specific link or consider having them invest directly outside the rollup vehicle.

What if an investor fails KYC verification? The platform notifies you and flags the investor. You can request that they provide additional documentation, or decide to exclude them from the vehicle. Investors who cannot pass KYC verification cannot fund through the rollup vehicle.

What if an investor wants to invest but is not accredited? They cannot participate in your rollup vehicle. All investors must be accredited. If you want to include non-accredited investors in your raise, you need a different structure such as a Regulation CF crowdfunding offering, which operates under different rules and through different platforms.

Can I add investors after the close? Opening a second close is possible but requires additional documentation and compliance filings. If you think you will have late investors, plan for this in advance by setting a target close date that gives everyone reasonable time and communicating clearly about your timeline.

Can I run multiple rollup vehicles for different rounds? Yes. Each new round can have its own rollup vehicle. If you run a pre-seed rollup vehicle today and want to run a seed rollup vehicle in 18 months, you create a new vehicle through the same Allocations account. The vehicles are separate entities with separate bank accounts and cap table entries.

A Note on Timeline

Founders often ask how long the full process takes. The honest answer depends almost entirely on how quickly your investors complete their onboarding, not on platform speed.

From the moment you start on Allocations to the moment your rollup vehicle is formed with documents ready and invite links generated, the process typically takes hours to a single business day. Entity formation is fast. Document generation is automated.

From the moment you send invite links to the moment you close, the timeline is determined by your investors. An investor who completes onboarding the same day they receive a link will be done in under 30 minutes. An investor who takes a week to respond to three follow-ups will take a week.

Most founders who have a warm investor list ready to go and who communicate clearly and proactively close their rollup vehicles within one to two weeks. If your investor list is cold or your communication is light, expect it to take longer.

Plan your timeline around your investors, not around the platform. The platform will not be the bottleneck.

Why Allocations Is Built for This

Allocations was built for exactly this use case: a founder who wants to bring in a group of angels quickly, cleanly, and without months of legal coordination or the ongoing operational burden of managing dozens of individual shareholders.

Without automation, SPVs can quickly become time-consuming and error-prone. Allocations turns the multi-week, multi-provider process into a single streamlined workflow: formation in hours, integrated banking for fast fund flow, digital investor onboarding, automated Form D and blue sky filings, tax reporting built in, and dashboards for sponsors and investors. With Allocations, sponsors can launch SPVs in minutes and close deals faster.

The pricing is flat, transparent, and published before you start. No carry is taken by the platform. No surprise invoices arrive mid-process. You know what the vehicle costs before you open it.

Your investors get a professional, digital-first experience that reflects well on you. They sign documents on their phone, fund via ACH, access everything through a clean portal, and receive their annual K-1 without you needing to coordinate any of it.

If you are ready to start, everything you need is at allocations.com.