Januray 2017 - www.europarl.europa.eu Crowdfunding in Europe. Introduction and state of play
Crowdfunding is a relatively 'young' form of financing – especially for SMEs and start- ups, but also for not-for-profit projects – that is developing fast in Europe. While researchers point out its benefits, among them the fact that project owners have greater control, and financial risk is spread among a larger number of people, they also note its drawbacks. The latter include a high cost of capital, occasional displays of a 'herd mentality', capable of depriving potentially worthier projects of adequate funding, and risks for investors from incompetence or fraud on the part of the project
owners, and unclear regulations.
The European Commission (through a communication and two reports) and the European Parliament (through three resolutions) have taken an active interest in this
form of financing. As a result, the Commission recently conducted a study on the state of the European crowdfunding market.
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Crowdfunding is an umbrella term covering four distinct sub-categories of group financing based on the nature of the return to investors: donation-based, rewards-based, equity-based, and debt-based. While a relatively small portion of individuals seeking crowdfunding are traditional entrepreneurs, different types of crowdfunding can be beneficial for different types of entrepreneurs, different types of businesses, and different stages of business growth.
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www.investopedia.com DEFINITION of 'Donation-based Crowd Funding'
Donation-based crowdfunding is a way to source money for a project by asking a large number of contributors to individually donate a small amount to it. In return, the backers may receive token rewards that increase in prestige as the size of the donation increases; for the smallest sums, however, the funder may receive nothing at all. Sometimes referred to as rewards crowdfunding, the tokens for donations may include pre-sales of an item to be produced with funds raised. Donation-based crowdfunding can also be used in an effort to raise funds for charitable causes.
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Updated July 08, 2017 - www.thebalance.com
What Is Donation-Based Crowdfunding?
Crowdfunding as the New Form of Charity
Microfinance: the Early Form of Crowdfunding
That's because much of what we know about crowdfunding came from early forms of microfinance. Microfinance, built on much of the real-world experience of Nobel Prize winner, Muhammad Yunus. Yunus and the Grameen Bank found a successful way to battle poverty in the emerging world -- not by giving charity but by charitable lending.
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16th June 2016 - www.investopedia.com
How Crowdfunding Will Change the World
Even before the new JOBS Act Title III rules were enacted in May 2016, crowdfunding has been an empowering form of investment that has already changed the world in many ways. Now with these new laws in place, the crowdfunding landscape is in for even more change. The current rules will enable start-ups to raise up to $1 million online from accredited investors and, for the first time, retail investors. In turn, these investors will receive equity securities via SEC-registered crowdfunding portals. These changes to the JOBS Act have the potential to help women and minority entrepreneurs gain new access to venture capital and wealth creation.
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May 26th 2015 - 3dprintingindustry.comItalian surgeons seeks crowdfunding to offer medical 3D printing services
One of the reasons why medical 3D printing is one of the fastest growing areas at this time is that doctors today are able to access advanced digital manufacturing tools with very low investments. Nevertheless, many institutions and governmental agencies have not yet fully understood the advantages that 3D printing can bring to surgical procedure preparation.
Coordinated by University of Pavia Professor Ferdinando Auricchio, from the Computational Mechanics and Advanced Materials Group, some doctors are thus taking it upon themselves to make the tools available to themselves and to the entire medical community. For example, by launching a crowd funding campaign, like a team of Italian surgeons and university professors just did on the Universitiamo crowd funding website from the University of Pavia, in Northern Italy.
Read more: Italian surgeons seeks crowdfunding to offer medical 3D printing services