While the regulators in the United States and Canada continue to doddle along in coming up with a simple and workable regulatory framework for equity crowd funding (it’s been over 2 years now), it is apparent that both the population and the market are more than ready for it.
Earlier this year, Kickstarter, the popular reward based crowdfunding site announced that it had passed the $1 billion dollar mark in terms of funded projects, all of which are for rewards only. Of this amount, over $660,000,000.00 came from Continue reading
While the regulators in North America doddle along trying to come up with ways to protect investors from themselves (it’s now been almost two years since the JOBS Act became law), here, in a nutshell, are 10 reasons why equity crowdfunding will become very popular among businesses and investors alike.
- Less expensive – Small and medium size enterprises will have access to a much greater pool of funding at a fraction of the cost of the traditional and the often time and expense consuming prospectus requirements Continue reading
Crowdfunding statistics are eye-popping. In less than 5 years, Kickstarter raised more than $1 Billion in pledges from more than 5 million contributors; that’s just one portal of over 600 portals worldwide! As an industry, crowdfunding has grown 1000% in 5 years and is predicted to grow 92% in 2014. But those numbers are primarily comprised of rewards-based crowdfunding models.
So how does equity crowdfunding fit in?