With seed capital for startups getting difficult to get by the day,many Entrepreneurs are considering crowdfunding platforms to boost funding for their startups. What is Crowdfunding? It describes the collective effort of an individual who network and pool their resources, usually via the Internet, to guide efforts initiated by other people or organizations. Crowd funding is employed to get a wide variety of activities, including disaster relief, citizen journalism, support of artists by fans, political campaigns, startup company funding, movie or free software development, and scientific research.
Fred Wilson, who's the founder of the venture capital firm Union Square Ventures (which has dedicated to Twitter, Tumblr, Foursquare, and Zynga), predicts that when the crowdfunding scenario gets up and running, the equity crowdfunding market will reach $300 billion and will be largely driven by families and individuals investing a tiny percentage of the assets via crowdfunding. As a point of comparison, a study from Crowdsourcing.org reports that about $1.5 billion grew up from 452 crowdfunding platforms in 2011.
Listed below are an inventory of the greatest crowdfunding platforms to look to if you should be a startup entrepreneur. Kickstarter: Kickstarter has become the oldest and the strongest crowdfunding platform. With over 74k Projects launched on it's website, and 383M $ raised through the website for projects, Kickstarter has successful rate of 44%. It can help fund from films, games, and music to art, design, and technology. Kickstarter is saturated in ambitious, innovative, and imaginative projects which are brought to life through the direct support of others.
WeFunder: Wefunder is a crowd investing platform for startups. They help seed investors purchase stock for as low as $100 in probably the most promising new businesses around the country. Additionally they help founders raise funds from their most passionate users who provide product feedback, marketing evangelism, and business connections. The business was founded in January 2010 by an MIT Sloan School of Management. At this time it boasts of and endless choice of investments, as written on the website: 9,287 funders pledge to invest $25,989,550 in startups
Indigogo: Indiegogo is one of the world's largest and earliest crowdfunding websites. They've helped to boost an incredible number of dollars for over 30,000 campaigns, across 194 countries. Danae, Eric and Slava each tried to boost money for something they were passionate about, however they came out short. They'd great ideas, the passion to work hard, and good networks, yet use of funding through traditional channels proved limited. The trio was determined to find a means to fix the problem. Indiegogo was born; the crowdfunding solution that empowers ideas and enables individuals to donate funds easily.
CrowdFunder: Based in Los Angeles, crowdfunder is a cultural network for entrepreneurs and investors to get in touch, crowdfund and grow. The business puts tools, connections and advice in the hands of business owners and investors at all stages in living cycle of a business. Startups and small businesses can raise funds through equity, debt and contribution-based instruments. Crowdfunder can be holding a series of contests in cities around the US where local businesses compete, and get an opportunity to win funding upto US $500,000. This site however mainly concentrates on the US market.
RocketHub: RocketHub is a crowdfunding platform for creative professionals. There are project topics tagged with various tagwords from beautiful to weird with this site. Rockethub is gaining a lot of popularity in recent times as a result of it's continuous media exposure. SeedInvest: Concentrating on American startups, this site was started by a group of MBA professionals from The Wharton School of the University of Pennsylvania, SeedInvest seamlessly brings together entrepreneurs and investors through an equity-based crowdfunding platform in a way that has never been done before. SeedInvest empowers entrepreneurs with a platform to pitch to an incredible number of investors throughout the US in order to raise seed capital
Quirky: Quirky is a Crowdfunding Website for Inventors. Based on the website, it has developed 241 products, has 188 retail partners and has a residential area of over 283,000 people Scout Roles. For centuries, becoming an "inventor" is a huge hard gig to crack. Complexities relating to financing, engineering, distribution, and legalities have stood in the manner of brilliant people executing on the great ideas. Since launching in 2009, Quirky has rapidly changed how a world thinks about product development
Startsomegood: Startsomegood is a Crowdfunding Website for Social Entrepreneurs. Start Some Good is a new crowdfunding website for social initiatives to boost funds via a community of supporters. You may even see a project from India with this website. Fundable: Founded by serial entrepreneur Wil Schroter, Fundable investors have the opportunity to invest in small company for equity. The internet site is managing a rewards-based funding platform. Believers Fund: This site is for mobile apps. This innovative crowdFunding platform has partnered with companies like Microsoft Bizspark, and has oflate, end up being the talk of the crowdfunding niche.