14

Reward based: Enables people to contribute to projects and receive non-financial rewards in return. Example platforms: Crowdfunder, Kickstarter, We Fund. Lending based: Projects or businesses seeking debt apply through the platform, uploading their pitch, with members of the crowd taking small chunks of the overall loan. Examples: Funding Circle, Lending Circle, Kiva. Equity based: Enables the crowd to invest for equity, or profit/revenue sharing in businesses or projects. Examples: Crowd2Fund, Lending Circle, Microgenius (Community Shares Unit). Donation based: Allows charities, or those who raise money for social or charitable projects, to gather a community online and to enable them to donate to a specific project. Examples: Chuffed, Global Giving, Just Giving. Benefits of crowdfunding: Engaging new supporters – reaching people who would not otherwise have engaged with the cause: - creating new advocates – it’s natural for new supporters to advocate for the cause; - extending geographical reach – the internet opens your cause up to the world; - drawing-in match funding – other funders are attracted because crowdfunding is a measure of popularity; - accessing non-financial support – other support such as volunteering can be obtained.

15 Publizr Home


You need flash player to view this online publication