FOR IMMEDIATE RELEASE: NOVEMBER 1, 2013
5 Reasons to Get Crowdfunded
Kyiv, Ukraine, November 1, 2013
- It has been 5 years since the global financial crisis or economic recession has shaken the world and life still goes on. People buy and sell things, make money, spend, save and invest it. But there are many people who prior to that had successful businesses and now are in need of economic boosts from external sources. Some time ago the only option for such people was to get a bank loan. But now there is a better solution - crowdfunding. It is a new and winning way to easily get the funding one may need, which proved to be an excellent alternative to banks. Why many businesses choose crowdfunding? Here are top 5 reasons for it:
Firstly, It is easy to use. According to “Crowdfund Investing versus Traditional Bank Loans” by
Sherwood Neiss, Jason W.Best and Zak Cassady-
Dorion,” to qualify for a bank loan these days,
you likely need a lot of collateral to secure your loan, three years of business financials to support
your case, and an ongoing relationship with your bank. If you’re an entrepreneur or a new s
business owner, chances are, you don’t meet these qualifications. Crowdfund investments can be structured in various ways to suit the specific needs of your business”. With crowdfunding you just
pick the platform you like, follow the instructions, get the result. Secondly, It is global. People can invest their money into business all over the world map, as well as get funding they need. There are no boundaries whatsoever. Anyone with internet access can use crowdfunding to persue their business goals.
Thirdly, It is effective. According to the industry insider, Massolution, “Crowdfunding Market grew
81% and over a million crowdfunding campaigns raised $2.7 billion in 2012 and the market is expected to nearly double again this year. Crowdfunding has now emerged as a viable, scalable
alternative to public and private finance”.
Another reason is Networking. Crowdfunding connects people with the same ideas, goals, interests, helping them achieve success in a chosen sphere of activity. Even though to most of people crowdfunding is a relatively new way to raise funds, it already has its giants such as Kickstarter, FundAnything, UInvest, IndieGoGo, RocketHub and Seedrs. And finally, Sharing. When investing money into a project, a person becomes a share owner, they can also become an owner of the project they invest in.