Advantages Of Equity Based Crowdfunding

The crowdfunding has gained a lot of popularity over the years, especially in the gaming community. Not only is the industry perceived as one of the most innovative and forward-looking categories, it also connects people with a specific mind-set and an excessive enthusiasm towards it. Moreover, this community has a common interest which is closely linked with a technological element and thus the users tend to have a

Mollick and Nanda (2015) discovered that people in general are more likely than professionals to fund projects that offer multiple levels of rewards, contribute updates, and display pictures and video. People in general and professionals are influenced to fund entrepreneurial projects in different ways. “Our second finding is that despite the broad congruence in evaluation, we see a systematic pattern in terms of the disagreement. Of the projects where there is no agreement, the crowd is much more likely to have funded a project that the judge did not like than the reverse. Approximately 75% of the projects where there is a disagreement are ones where the crowd funded a project but the expert would not have funded it. We also see a clear pattern in terms of the characteristics of projects that are liked

“Kickstarter is changing how millions of people around the world connect with dance, design, fashion, film, video, food, games, journalism, music, photography, publishing, technology, theatre, art, comics, and crafts.” Kickstarter, is unlike any other breeding ground for funding and showing the world the many projects that can be born through unique minds. Launching in 2009, they have nearly help fully fund over 77,000 projects, projects that wouldn’t have happened without support loving support from over 7.7 million backers. Unfortunately, there are some downfalls. Nearly 200,727 have been created on this website and less than half have been made from a dream, into a reality. There is no universal way of getting everyone to like your

South Korea continues a process of economic liberalisation and deregulation, but the government has yet to adopt a fully laissez-faire policy where the economy and trade are concerned. The UK TI team in South Korea works actively to lift or loosen the many regulatory barriers that still exist to ease UK-based company enter to the market(UK Trade and Investment, 2009)

Sometimes, you might even find freelancing individuals to cater the concerned investment opportunity to the investors. Not all investors get interested for this investment rather only few categories join the community. Different investment reviews of the present age can be surely followed for getting necessary facts regarding how does crowdfunding work.

Crowdfunding. It's a scary word for many musicians around. Yet, it seems to be more common nowadays bananas. The artists who make all their production alone to the big market, crowdfunding is the trend that allows fans of an artist get involved in their production, funding the launch of its new project by bidding data over the Internet for the artist, for a limited period of time, we call campaign. In return, supporters receive special incentives that vary according to how much money they offered.

One of the main issues that crowdfunding campaign will face when targeting B2B is the perception of being a threat. Startup businesses, especially those which branch off from small established businesses, may be seen as trying to overtake the business rather than presenting a solution to a problem of the smaller business. It is paramount that a startup establishes a trust with the smaller established businesses. Present a solution to a problem with the reassurance that the new business is not going to be competitive with the business funding the campaign. A business needs to present that it will benefit the investing business both functionally as well as financially to invest.

There is a current lack of money supply in the marketplace to finance legitimate growing organizations. This is highly acute for small businesses that are in early stages of development as VCs continue to nurture existing investor portfolio companies rather than take new bets on early stage firms. Big commercial institutions like banks, ventures capital firms or even record labels in the music industry have significantly reduced their risk profile for new investments. In this environment VCs have the upper hand and entrepreneurs clamour to get their attention. The need for more than family, friends, angel investors and traditional VCs to fund a company is forcing entrepreneurs to make an “open call” for funding. Crowdfunding provides an alternative to traditional venture capital gatekeepers and presents a marketing platform upon which to raise funds, drive interest in the product, service or issue and get input and feedback to company direction. Like any new fad unscrupulous individuals

The republic of South Korea is located in East Asia, according to the World Bank it is a high-income developed country with a developed market, with a GDP of $1.449 trillion(US) and GDP per capita (ppp) of 25,977(US), averaging an annual growth rate of 2.9%. Over the past four decades the country has shown incredible growth and global integration to become a high-tech industrialized economy. South Korea is the world’s 4th largest car producers being home to Hyundai Motors, the largest ship builder and also has many successful corporations such as Samsung. During the GFC South Korea was one of the Asian economies hardest hit although its protective monetary put into effect by the Bank of Korea (BOK) lessened the impact of the crisis dramatically between the years of 2008-2009. Today it is the 12th largest economy in the world and global leader in digital displays and steel production.

In this business plan, we thought through how to get the initial funding (including marketing and advertising), how to make a positive revenue stream, some possible obstacles that we might face, and most importantly, how can we let people truly understand the whole point of participating. I attached a detailed report of our project in this email, so I won’t go into further explanation now.

CROWDFUNDING: TAPPING THE CROWD FOR MONEY In this section, we provide a theoretical discussion of the concept of crowdfunding. First, we present a definition of crowdfunding. We then describe the market. Existing literature on the topic is described in the last part of this section, and enables to present motivations of entrepreneurs to use 3

But competing in the world of business pitches to investors is not the only way competition provides financing. There are actual competitions which you can win and fund your startup.

financial help from the general public (the “crowd”) instead of approaching financial investors such as business angels, banks or venture capital funds. This technique, called “crowdfunding”.

Crowdfunding creates funds for new projects by using internet and social media. This can benefit small business projects to obtain their required funds. A project receives small investments from wide range of individuals through web advertising and social media. The individuals (investors) who have invested in the project may receive incentives such as discounts on the products, early opportunity to purchase their products, inclusion of their name in the list of contributing founders etc., so, they are not purchasing the share of the company. Crowdfunding avoids going to the banks, friends and family to get funds. It also avoids giving up partial ownership of their company. The websites like www.rockethub.com, www.peerfunding.com,

The strict regulations for foreign VCs such as a minimum required investment of USD 1 million and the minimum number of employees to hire are the fixed costs to the foreign VCs’ investment in Korean startups and SMEs, he said. Mr. Lim contended that venture capital investment regulations must be eased not only to attract foreign venture capitalists but also to provide startups and VCs a more convenient platform for exits through initial public offerings (IPOs) or merge and acquisitions (M&As). Furthermore, Mr. Lim observed that excessive regulations in other areas also prevent a robust growth of startup ecosystems. Specifically, the government’s positive-list approach to regulations preventing new services such as peer-to-peer (P2P) lending and Uber must be changed into a negative-list approach.