If you’re looking at crowdfunding a business idea or nonprofit charity,
writes Investopedia, “the world’s leading source of financial content on the web”.
The American platform backs only creative projects, is based on an all-or-nothing deal which means that if a project doesn’t reach its goal, no money will be collected, and keeps 5% of every successful project.
According to Investopedia’s experts, Kickstarter is arguably the most active platform, raising over $2 billion since its launch in 2009. On a typical day, the Kickstarter community pledges over $1.5 million.
The company, which has recently been the first in the industry to launch an ICO service, and, earlier this year, entered the e-commerce space, has raised over $1 billion since its inception in 2007, funding in 2015 over 175,000 campaigns with contributions from 2.5 million people across 226 countries.
The company keeps 5% of all money raised, whether you hit your goal or not. There is also an additional fee of 3% plus $0.30 per transaction on any contributions made by credit card as well as an equity investment option offered in partnership with MicroVentures.
Are you an emerging brand? Circle UP is your equity crowdfunding platform of choice, if you can show revenue of at least $1 million.
The average raise is less than $1 million, and the average investment is $100,000. Most campaigns take between two and three months to close, Investopedia points out.
Since its inception in 2011, the San Francisco base equity crowdfunding platform has helped 211 entrepreneurs raise $305 million.
Find out more here.