Find A Crowdfunding Platform That Works For YOU
Hello again! It’s Kevin Harrington, welcome back to Startup Profits Daily…
I’m going to cut right to the chase — An investment is a partnership.
And with every move you make, your primary focus is to bank on your income opportunities for every potential pre-IPO investment you make.
Now, when it comes to startups, I can tell you the many criteria that go into picking and choosing the perfect company to invest in — the right leadership, product or even the right market, I’ll go over this in detail next week.
Beyond this, how do you access a startup company?
Equity crowdfunding platforms — this is where you’ll go to buy into early-stage ventures.
In last Tuesdays inaugural edition of Startup Profits Daily I covered how crowdfunding works and how the law has changed to give everyday investors the opportunity to buy into startups — a right previously given to institutional investors only.
So here’s how these crowdfunding platforms work…
The Business Of Raising Capital
You’ve probably heard of Kickstarter or GoFundMe — these are the main platforms small creative projects or even charitable causes use to raise money.
Equity crowdfunding uses the same basic model.
The main difference is — instead of giving to causes — you receive a percentage of ownership or financial interest in a company.
Depending on the platform you choose you’ll have full access to basic information of the startup. They’re essentially pitching themselves to you all on one site.
Potential startups need capital to grow. Without it, the company can quickly spiral and implode. Which is why they need to be able to sell a business idea, product or service to investors.
Choosing the right crowdfunding platform is an important part of the process. It’s a side to startup investing not many people know about, and not all platforms are the same.
Please remember this following list is for informational purposes only — and it’s just your first step in choosing a crowdfunding platform. We do not favor one over another, and it’s up to you to decide which one meets your needs.
Here are a few online equity crowdfunding platforms to hit the ground running:
This Platform has various for-profit types of crowdfunding — including donation-based and rewards-based. Your main focus, however, is equity-based, where in return for a small piece of equity in a business or company, you’ll put down an investment to help launch a business.
Provides everyday investors with the necessary education, tools and insight to access crowdfunding opportunities, which consist of a range of deals with valuations and reports.
MicroVentures brands itself as “venture capital investing for everyone.” And it truly offers equity crowdfunding on multiple levels. Plus, the platform vets all their startup opportunities and initial investment can range as low as $100! Some past startups include Uber, Slack and 23andMe.
The equity crowdfunding platform allows anyone to invest in private startups with no hidden fees and is highly selective in its vetting process. With this process, Republic has crafted an interactive platform that easily connects investors with their startups.
Kickstarter for investing: Wefunder has been in the fight to legalize equity crowdfunding since the very beginning. In fact, the platform lobbied Congress to pass the previously mention JOBS Act and since legalization has raised $110 million in investments.
These are just a few of the many equity crowdfunding platforms available to you. Again, this is only a guide to give you a head start. My team and I do not endorse one equity crowdfunding platform over the other.
I Cannot Stress This Enough: Before you open any account, you should do research on your own. There are certain risks and rewards that come with startups, so don’t be afraid to call or email their customer service rep. You have a right to speak to someone before giving a crowdfunding platform your money.
The Story Continues…
As I mentioned earlier, next week I’ll be back with what I personally look for when taking a startup into consideration.
It’s been part of my success as an investor and entrepreneur for decades, and it’s how I’ve been able to take small concepts and transform them into massive profit generating companies…
You won’t want to miss it, so please, stay tuned!
Sent from a shark,