From an entrepreneur/issuer perspective
Let’s say you have a great business idea that you’ve been postponing for a long time, for a lot of reasons: you can’t find the time, you can’t find the team, you cannot afford to leave your job, and, as it so often occurs these days, you can’t find the money. For sure, because you are reading these lines, you have heard of crowdfunding before now, but let’s see why equity crowdfunding might help you catch your dream and make it come true.
1. Equity crowdfunding is a relatively low-cost financing solution for your startup.
Banks see startups as high-risk businesses and prefer to direct their money toward safer placements. And, even if they are offering a loan for a startup, it comes with high costs and requires collateral and personal guarantees that put the entrepreneur at risk to lose everything he or she owns.
Equity crowdfunding is meant to create a safe meeting place for entrepreneurs like you with other people just like you; not banks, mutual funds, or venture capitalists, putting them at the same virtual round table and letting you convince them your idea worth their money… and that the shares they will get from your business will bring them, someday, a rewarding return on investment.
2. Equity crowdfunding is personal and allows you to choose your investors.
Crowdfunding is all about community. We, at truCrowd, know it so well and we want to let our users take advantage of it, by offering them an extensive integration of our platform with social media networks.
You’ll get the chance to talk to each person who wants to invest in your business and select a crowd with positive energy that will motivate you even more to pursue your dream. You’ll have the chance to meet and get money from the right persons who resonate with you, starting with your friends and family and continuing to our thousands and thousands of other users who want to change the map of USA’s economy and get a good investment for their money.
3. Equity crowdfunding lets you use your investors’ abilities.
One of the biggest, revolutionary things about crowdfunding, that no other capital source can match, is the way investors get to be involved in the business processes. You not only will have the possibility to raise up to one million USD from a crowd (per year); you will also get a crowd that can and will support you, because they are equally interested in your success.
Your investors can be experienced in the field you in which are building your business, and can make wonderful (free) consultants. Or, they might be well connected and allow you to network, providing you unexpected great business opportunities.
And, also very important, because operating a startup is not all joy and fun, they will motivate you to go further. When you have a crowd of people with whom you are personally interacting, and which have given you their money to let you build your dream business, you cannot afford yourself to give up. You cannot disappoint, no matter how hard it might be sometimes.
4. Equity crowdfunding is simple. At least on truCrowd.
Regulations are still in the making, and we are happy they exist because this market has to be very safe and clear to reach its full potential. And, we commit to make things as simple as possible for our users.
We do explain everything in simple words. We are partnering with VentureDocs to bring you all legal documents for start-ups and crowdfunding transactions, so you can use them and minimize your legal fees. We encourage transparency and we want to let our equity crowdfunding platform be exactly what it should be: a great social network where ambitious entrepreneurs like you can find enthusiastic investors, without having to worry about bureaucracy, and instead focusing on their ideas.
5. Equity crowdfunding lets you help the economy, the society and yourself.
In 2012, more than 1 million campaigns where financed worldwide through crowdfunding. For 2013, the forecast is with 81% higher! It is obvious that the economy is changing and you can be a part of it.
Your business idea can be another stone to the foundation of a healthy, revolutionary American economy. You will have the chance to create new jobs and integrate in your dearest project capable people and let them be the best they can. You will offer yourself the chance to prove you can do more and that we, actually, are in lead of our own lives… as long as we want it.
We tried to summarize the main benefits of the equity based crowdfunding from the entrepreneur (issuer) perspective, however you might know/find other benefits as well, so, I invite you to share your ideas in the comments part – below. Thank you!