Crowdfunding is a cool and easy way to get funds for your business start up. If you don’t know what this is, follow the link at the start of the paragraph for more detailed information. In few words, this is a way to rise funds for your business from many small investors, usually ordinary people who like your idea. They can invest in your venture from as little as $1, and in some cases they even get a portion of your company’s equity and a percentage of the future profits. This way almost all people in the world become potential investors in your business idea. If you persuade just a few thousands of them to give you a few dollars each, in the end you will have tens of thousands in starting capital. But where to get financed this way? We made a research for you and found the top 5 crowdfunding sites in the world you can take advantage of. A nice example is the movie “The Cosmonaut”, which was financed by crowdsourcing. The producers managed to collect around $130 000 using this method. The biggest project financed this way managed to rise around $10 million in initial investments. So if you are a starting entrepreneur, you have a cool idea and there is no other conventional option to get funds, give these sites a shot:
Top 5 Crowdfunding Websites
Kickstarter.com – this site is not casually on the first place. It one of the most popular crowdsourcing platforms on the planet. So far, around 48 000 projects found funding there and the total amount of money collected by all of them is around $750 million. The website is visited by thousands of people (potential investors) every single day, so if you have a good idea, your chances there are pretty sweet. You can sign up for free there, but creating projects is currently allowed only for US, UK, and Canadian creators, who are over 18 years old. Taxes are 5% of each successfully funded idea. If you live outside these countries, don’t worry, continue with the sites below.
Indiegogo.com – This is also a nice and popular crowdfunding platform. Here you get all the funds you acquire, no matter if you haven’t reached the needed amount. This site currently doesn’t have any limitations related to where you live or who you are. It’s open for the world. Fees here are 4% if you reach your goal of funds and 9% if you don’t.
AngelList.com – AngelList is a funding platform for start ups, which was founded by the team who started Venture Hacks. Their website is a cool way to find investors for your project without even meeting them. It’s more suitable for bigger projects:
* the minimum capital your ideas must have is $150 thousand.
* each different investor must invest a minimum of $1 000.
* the service is free, so hurry up!
RocketHub – another good platform, even not as popular as the other from above. They offer not only crowdfunding services on their “FuelPad”, but also support from big companies and brands (if they like your idea) on their “Launchpad. Fees – 4% if you reach your goal of funds and 8% the money if you don’t.
GoFundMe – is not business only oriented platform. There you can rise funds for any cause you want – from money for your education, to money for helping vagabonds on the street. The is no limitation, the only thing you need to do is to make people believe in your cause. It’s a great website for donations. The site charges 5% of any donation made to you.
These are the top 5 websites in the world, below you can find some smaller ones that still provide millions in funds for many ideas. Don’t miss checking them, too.
Razoo.com – they have rized around $165 million in donations since they started. They are donations oriented focusing on collecting money for good causes and “non for profit” ideas. But they also finance “for profit” organizations and causes, too.
CrowdRise.com – another charity and donations oriented platform.
We hope you we helped you a little for finding money for your ideas. If you enjoyed this post, please consider sharing it with friends. That would be cool!