Have you heard the hype about crowdfunding but still have no idea whatit is or how it can help you? Well, you have come to the right place.Crowdfunding is frequently defined as a collective cooperation ofpeople who pool their money and resources (usually through theInternet) in order to support the efforts and growth of otherbusinesses and organizations. This means that small businesses andentrepreneurs are actually able to attract a "crowd" of people, all ofwhom will take a small stake in the business by contributing to anonline fund. This decreases everyone's risk while simultaneouslycreating a strong network of support for your business. If you arewilling to offer equity as well, your investors will have theopportunity to become ambassadors for your brand and will potentiallyhelp your company achieve more growth and success. Thus, crowdfundinghas become a popular alternative method of raising funds for a newbusiness or investment project.
In fact, it's getting to be quite crowded in this particular space, asalmost any business or asset is able to benefit from investmentcrowdfunding. This new method of securing capital is a veryefficient, contemporary way in which to connect entrepreneurs and smallbusiness owners with smaller sources of capital. With the passage ofthe Jumpstart Our Businesses Startups (JOBS) Act in 2012, crowdfundingreceived a significant boost, as the JOBS Act received a large amountof support due to the efforts to bring some energy back into thefaltering US economy.
Tips & Tricks for Successful Crowdfunding:
Business Capital: SBA Loans | Non-traditional options | Venture Capitalists | Traditional funding