Crowd Funding
If you need the capital to start-up a business, how will you go about getting the funds for inventory purchase, carry out marketing campaigns or set up business? You will need a strategy, and that strategy is CrowdFunding.
Crowdfunding is making use of little amounts of money from large numbers of individuals to start-up a new business. In this method of funding, vast numbers of individuals are used to raise the necessary capital via crowdfunding websites and social media platforms. These forums are used to attract entrepreneurs and investors together.
Crowdfunding is also capable of maximizing the entrepreneurship by increasing the investor’s pool so that funds can be raised from beyond the normal circle of relatives, owners or venture capitalists. In other words, Crowdfunding is the art of funding a venture or project through the raising of little sums of capital from a large number of individuals.
Types of crowdfunding:
There are three main types of crowdfunding;
Reward-based Crowdfunding
Entrepreneurs use this type of crowdfunding to presell a service or product when they want to launch a venture without the need to incur liabilities or to sacrifice the equity shares. This reward-based crowdfunding has been used for so many different purposes such as civic projects, promotion of motion pictures, scientific research, free software creation and inventions development. Another name for reward-based crowdfunding is non-equity crowdfunding.
Equity Crowdfunding
This type of crowdfunding enables the backer to acquire the Company’s shares in exchange for the capital pledged during the early stages of the business venture. In equity crowdfunding, there is the need for a collective effort from individuals or organizations through providing money in the form of equity. In this type of crowdfunding, securities are offered including the chance for a return on your investment.
Software Value Token
In this type of crowdfunding, funds are raised for a specific project, and a value token based on digital or software is given to the investors as a reward. The creation of software value is often offered in the open to all decentralized network.
Crowdfunding is amongst the services provided by Firstcall Investment Banking. We specialize in providing our clients with alternative finance and crowdsourcing for the new venture. Our firm helps clients to fund vast ranges of entrepreneurial businesses like creative or artistic projects, travel, medical expenses or socially oriented entrepreneurship projects.
How is Firstcall Different from the Competition?
- Our charges are very competitive and the major component of our fee is based on the successful completion of our client’s transactions.
- We are not traditional business brokers; instead, we are specialists and command full authority in the areas we operate.
- No matter the size of any transaction, we pay high-level attention to it.
- We follow and support each client’s objective with in-depth research, rigorous analysis and meticulously designed solutions.
- Firstcall would set achievable goals to the clients and efficiently push them to exceed those goals.
- Our firm utilizes the latest technology to provide our clients with access to the global markets.
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