Top 10 US Crowdfunding Platforms for Startups 2022

payment

To date, they have helped over 40+ companies raise over $9M in funding. If you are looking for funds to launch and develop your own business, crowdfunding is a great way to allow the public to actively be part of your project. People in fact love feeling part of something important, original, and becoming part of a community. They act as venture capitalists themselves, listing qualifying businesses and bringing other investors in on the deal. Syndicate Room has a Portfolio of over 220 companies and more than 1000 investors. Don’t underestimate the time you will have to allot to attract the crowd and communicate with your followers.

social media

Understand the campaign and funding fees (or commissions you’ll pay) and payment processing fees for your crowdfunding campaign. Know whether you get the money you raise, even if you don’t reach your goal. There are two types of crowdfunding methods that require financial repayment. These are loans from a group of investors who come together to fund a certain business or individual. These loans can range in size depending on the crowdfunding site, your business size and type, number of years in business and your revenue. Some crowdfunding platforms check your credit and consider other factors.

How to Start a Business: A Startup Guide for Entrepreneurs [Template]

The top 10 platforms are Kickstarter, Indiegogo, Crowdcube, Wefunder, Seedrs, EquityNet, StartEngine, Republic, Angel Investment Network, and SeedInvest. In addition, seven of these ten platforms offer equity-based crowdfunding; thus, this type of funding is growing. Seedrs is another equity crowdfunding site that links startups with investors and allows them to trade shares.

Undoubtedly the leader amongst all Best Crowdfunding Sites For Startups In 2021-based crowdfunding platforms, Kickstarter has funded more than 160,000 campaigns to date. As such, it’s one of the largest crowdfunding platforms for startups in the US. The JOBS Act opened new avenues for startups and small companies to raise capital. As we have discussed in an earlier post, soliciting early funding is not easy. Early ventures rarely have assets or patented intellectual property necessary to procure traditional bank financing or SBA loans.

Best Crowdfunding Websites for Raising Funding (

Crowdfunding is one of the most popular methods of financing small businesses for entrepreneurs, ambitious individuals, and creative thinkers. It enables those who are unable to acquire capital for their business through conventional financial institutions to access other investment alternatives. Amid a software-dominated industry, this crowdfunding portal focuses on promoting hardware initiatives. Crowd Supply may assist you in bringing a family recipe to market, developing cutting-edge open hardware, or building electronics. The average amount raised by a successful project is $61,000, and 80% of the projects started have been successful. You may get between $50,000 and $50,000 from investors using WeFunder.

Do you pay back crowdfunding?

Different types of crowdfunding require different payback methods:

If you are using donation crowdfunding (i.e., GoFundMe) you don’t have to pay the money back.

If you are raising money with exchange crowdfunding, where you ask for money and give something in return, you must fulfill your obligation.

If you raise money through equity crowdfunding, you don’t need to pay any money back, but must share revenue with investors.

StartEngine is a platform that enables people to become investors in early-stage startups. This lay-person-friendly investment approach is why it is our pick as best crowdfunding platform for investors. To get started collecting funding using the site, you can set up a campaign for up to 60 days, the fee for which is a 5% platform fee plus a 2.9% and $0.30 third-party processing fee.

Leave a Comment

Your email address will not be published. Required fields are marked *