Raising capital for your business is a crucial step for the growth of your business. As, you have invested your expertise, savings, and time to establish your business. Now, it’s time to raise some capital for its expansion.
To do it, you don’t need to ask any bank rather there are a lot of crowdfunding Platforms where people can invest in your idea and business. We have brought the list of the top crowdfunding sites from where you can get capital for your startup, creative endeavor, cause, or project.
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Types of Crowdfunding
Crowdfunding is one of the easiest and fastest ways to raise funds. However, you should know which platform suits your needs and what it requires from you. Here are some types of crowdfunding:
1) Equity Crowdfunding:
In this type of crowdfunding, you sell a portion of your business to investors against the capital for your business.
2) Donation Crowdfunding:
Here you need to start a campaign to get donations for your non-profit organization or business. You don’t need to repay for it.
3) Debt Crowdfunding:
It is similar to a traditional business loan that is collected from individuals instead of banks. There’s an annual percentage rate levied on it.
4) Rewards Crowdfunding:
In Rewards crowdfunding, people provide donations in exchange for services, gifts, and other items. Kickstarter is a popular site for rewards crowdfunding.
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Top CrowdFunding Platforms:
Here is the List of Top Crowdfunding Sites for you:
1) Kickstarter:
Kickstarter platform connects creatives with investors. Till now, the company has helped around 15 million people to raise funds. It has raised $3.7 billion in funds for more than 143,000 projects. You can create a free project here. The Kickstarter charges 5% fees after your funds are collected. There is also a processing fee of around 3-5%.
2) Indiegogo:
Indiegogo platform has raised over $1 billion in fundings for more than 650,000 projects. In this platform, you can offer securities, share revenue, sell crypto and apply for equity. It also takes 5% charges the service fees.
3) Crowd Supply:
From receipts to electrical equipment, crowd supply helps creators to get funds and support for their launch by connecting them to fundraisers. Its mission is to bring productive and original hardware to life.
4) Experiment:
If you’re a scientist or scientific researcher, an experiment platform is for you. It helps to create funds for scientific discoveries. It is free to start a project but there are 8% charges for the funds that are collected, with the processing fees of 3-5%.
5) CrowdFunder:
Crowdfunder platform has a community of 200,000 businesses and investors. Here, entrepreneurs sell their shares to investors who have funded them. It charges monthly fees starting from $299.
6) Chuffed:
Chuffed platform supports social causes like helping animals, the community, or the environment. This platform is for non-profit campaigns and causes. The processing fee is paid by the donor and other charges are 3%.
7) Patreon:
If you’re a writer, artist or a musician, or other, you would be funded to run a membership business for your followers. Here, fans pay a subscription fee against your popularity. Patreon platform has raised around 350 million for creators. Patreon will take 5% charges if the payments are made.
8) Fundable:
You can create your profile at fundable and raise funds by selling products, merchandise and taking pre-orders. It allows companies to raise capital from investors, customers, and friends. This platform charged $179 per month to fundraise.
Other crowdfunding platforms:
Here is the list of some other platforms to get capital:
- WeFunder
- Fundly
- Seedrs
- Crowdcube
- SeedInvest
- LendingClub
- StartSomeGood
- Funding Circle
- FundRazr
- CircleUp
- Classy
- GoGetFunding
- Ulule
- EquityNet
Click the link to find out the details.
Quick Wrap Up:
We have compiled a list of the best crowdfunding platforms for you. Just get connected with one of the above crowdfunding platforms and skyrocket your business.
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