Crowdfunding Revisited: Equity, Loans And Project Financing


CrowdNight Concert Crowdfunding is often little more than a new name for a familiar business model. For example, fractional business ownership, where the fractions of ownership are bought and sold is a very old form of investment, known as share ownership. It's also, if you do the transaction by screen via a crowdfunding platform, known as equity crowdfunding. At Money&Co., we bring individuals looking for a good return on capital together with to carefully vetted small business seeking funds to grow. You could argue this makes us a kind of credit union. We do this via our online platform, so it's known as peer-to-peer business lending, a sub-sector of crowdfunding. Our lenders have achieved average gross returns of over 8 per cent since we began facilitating loans in 2014. For more on the basics of crowdfunding, click here.

Another take comes from consulting group IDG Connect, which analyses the crowdfunding platforms it has covered since 2013. The paper starts with project crowdfunding (where people fund a product or an event – this is one of the earliest forms of crowdfunding).

"IDG Connect has spoken to more than 100 campaigns on Kickstarter, IndieGoGo, Crowdsupply and other crowdfunding sites. We surveyed them to ask them: What is the role of crowdfunding today? A pre-order platform? A marketing hype tool? A real alternative to traditional Venture Capital funding? Technology & rewards-based crowdfunding tries to answer some of those questions. We look back on the 100+ campaigns we've spoken to over the last three years, learned what happened next, talked to them again about their experiences and gathered best practices, and found out whether they'd go back for another campaign. The updated version of this report – originally published in 2016 – includes updated statistics and takes a closer look at how IndieGoGo and Kickstarter have changed from merely platforms with which to raise money to include a broader set of services including eCommerce, customer engagement, supply chain and manufacturing, and even venture funding."

MoneyCoBlogLogo

As we write this article, ou latest B-rated, property backed 12-month loan offering is over 47 per cent subscribed. The gross yield is fixed at 10 per cent.

Money&Co. brings individuals looking to get good return on capital with carefully vetted small businesses seeking funds to grow. We run our loan book conservatively, and have no defaults in over three years of facilitating loans. In addition to new loan offerings, our secondary loan market, offering existing loans for sale by lenders, is available to registered Money&Co. users.

All loans can be held, tax-free, in an Innovative Finance Individual Savings Account, or Innovative Finance ISA.

Risk: Security, Access, Yield

Do consider not just the return, but the security and the ease of access to your investment. We write regularly about these three key factors. Here's an earlier article on security, access and yield.

If you haven't made a loan via Money&Co. before, please read the risk warnings and the FAQ section. You may also wish to consult a financial adviser before making an investment. Capital is at risk, once loaned.



FOLLOW MONEY&CO. ON TWITTER

Search news

You may put double quotes around your search to search for literals. Max. 4 words inside quotes (dashed words count as one word).

Allowed symbols: " ' & -

More news

2018
NovemberOctoberSeptemberAugust
July
June
May
April
March
February
January
2017
December
November
October
September
August
July
June
May
April
March
February
January
2016
December
November
October
September
August
July
June
May
April
March
February
January
2015
December
November
October
September
August
July
June
May
April
March
February
January
2014
December
November
October
September
August
July
June
MayMarchFebruary

Search blogs

You may put double quotes around your search to search for literals. Max. 4 words inside quotes (dashed words count as one word).

Allowed symbols: " ' & -

More from blogs

2018
2017
2016
NovemberOctoberSeptemberAugustJulyJuneMayMarchFebruaryJanuary
2015
DecemberNovemberSeptemberAugustJulyJuneMayAprilMarchFebruaryJanuary
2014
DecemberNovemberOctoberSeptemberAugustJulyJune



Disclaimer: Money&Co.™ is the trading name of Denmark Square Limited, Company Number 08561817, registered in England & Wales, authorised and regulated by the Financial Conduct Authority (FCA). The company is identified on the Financial Services Register under Reference Number 727325. The registered office is 58 Glentham Road, Barnes, London, SW13 9JJ where the register of Directors may be inspected. Denmark Square Limited (ISA manager reference number Z1932) manages the Money&Co. Innovative Finance ISA.