The term ‘crowdfunding’ refers to the accumulation of funds from various sources in order to raise money for a cause. There a number of platforms available and used for this type of fundraising including – mail-order subscriptions and benefit events, but the means procuring the most popularity surely are the internet mediated transactions.
The modern crowdfunding structures include the interplay of the contributions of – the project initiator who proposes the idea of project to be funded, individuals or groups who support the idea and a moderating organization which acts as the platform to bring the contributing parties together to launch the idea. So as far as investment ideas are concerned, crowdfunding is nothing but use of small amounts of capital from a large number of contributors / sponsors to aid a business venture.
Many crowdfunding projects come with a rewards–based system so that investors can get a chance to participate in the launch of the new product or receive a gift for their investment. This is because one might easily ask, “what’s in it for the investors?”. Equity-based crowdfunding is becoming popular with its ability to allow startup companies to raise money without giving up control to the venture capital investors. Crowdfunding is in fact a very good opportunity for the entrepreneurs to raise a lot of money with the help of small investments from people who are willing to spend even a little amount of money.
And since the use of the internet has been attaining surging popularity in this aspect, a number of crowdfunding websites are coming into existence with each passing day. One such instance of a popular crowdfunding platform would surely be Ketto. It is Asia’s most trusted and visited crowdfunding platform and has the largest funding community too. It is very easy to start a fundraiser on Ketto since it is absolutely free.