Crowdfunding at a glance

Crowdfunding is a method of raising capital through the collective effort of friends, family, customers, and individual investors.

This approach taps into the collective efforts of a large pool of individuals — primarily online via social media and crowdfunding platforms — and leverages their networks for greater reach and exposure.

How is crowdfunding different from other types of finance?

Crowdfunding is essentially the opposite of the mainstream approach to business finance. Traditionally, if a person want to raise capital to start a business or launch a new product, they would need to pack up their business plan, market research, and prototypes, and then shop their idea around to a limited pool or wealthy indiv...