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Equity Crowdfunding: a New Phenomena$
Journal of Business Venturing Insights 5 (2016) 37–49 Contents lists available at ScienceDirect Journal of Business Venturing Insights journal homepage: www.elsevier.com/locate/jbvi Equity crowdfunding: A new phenomena$ Nir Vulkan a,n, Thomas Åstebro b, Manuel Fernandez Sierra c a Said Business School Oxford University, United Kingdom b HEC Paris, France c Economics department Oxford University, United Kingdom article info abstract Article history: Crowdfunding has recently become available for entrepreneurs. Most academic studies Received 1 December 2015 analyse data from rewards-based (pre-selling) campaigns. In contrast, in this paper we Received in revised form analyse 636 campaigns, encompassing 17,188 investors and 64,831 investments between 30 January 2016 2012 and 2015, from one of the leading European equity crowdfunding platforms. We Accepted 4 February 2016 provide descriptive statistics and carry out cross-campaign regression analysis. The de- Available online 4 March 2016 scriptive statistics address its size, growth and geographic distributions in the UK. The Keywords: regressions analyse which factors are associated with the probability of a successful Equity crowdfunding campaign. We find some similarities and some interesting dissimilarities when comparing UK the descriptive statistics and regression results to research on rewards-based crowding. Campaign success The data show that equity crowdfunding will likely pose great challenges to VC and business angel financiers in the near future. We discuss some research challenges and opportunities with these kind of data. & 2016 Elsevier Inc. All rights reserved. 1. Introduction In recent years crowdfunding has emerged as a viable and popular alternative channel for entrepreneurs to fund their early stage businesses. -
Harvard Spring 2017
Crowdfunding: Kickstarting Your Enterprise or Non-profit Through Online Fundraising HKS Communications Program Tuesday, October 17, 2017 What is crowdfunding? "The practice of funding a project or venture by raising many small amounts of money from a large number of people, typically via the Internet" (Forbes). Online crowdfunding has existed since 1997, but the term "crowdfunding" wasn't coined until 2006 and didn't become popular until Kickstarter was founded in 2009. What kinds of projects can be crowdfunded? Any kind! From launching a new mobile app to a new restaurant, publishing a book to a website, expanding a non-profit to paying a child's hospital bills, crowdfunding can (and has!) been used to fund all these projects and more. Can anyone crowdfund? Yes, but not everyone is successful: 64% of all Kickstarters fail. Of those that succeed, most were seeking less than $10,000 in funding. It helps to have either a reputation—you've been working in this industry for a while and have a proven track record for bringing projects to completion—or a prototype—a demonstration of the final product, whether it's a chapter of a book, a trailer for a movie, or a smaller event that could be made bigger. What crowdfunding platform should I use? There are over 500 crowdfunding platforms, with the biggest ones being Kickstarter, Indiegogo, GoFundMe, and Patreon. Which one you choose is largely determined by what kind of project you're running and how much money you need: • Kickstarter requires all its projects fall into one of these categories: Art, Comics, Crafts, Dance, Design, Fashion, Film & Video, Food, Games, Journalism, Music, Photography, Publishing, Technology, and Theater. -
Raising Capital from the Community Alternative Capital Development Through Crowdfunding
Raising Capital from the Community Alternative Capital Development through Crowdfunding November 2013 Green For All - Business Accelerator Program greenforall.org/resources Acknowledgments © Green For All 2013 Written by Jessica Leigh Green for All would like to thank the following individuals and organizations for their contributions to this guide: Jenny Kassan, Cutting Edge Capital; Brahm Ahmadi, People’s Community Market; Justin Renfro, Kiva Zip; Joanna De Leon, Triple Green Custom Print Developers; Ben Bateman, Indi- egogo; Lisa Curtis, Kuli Kuli; Erin Barnes, ioby; Helen Ho, Biking Public Project, Recycle-a-Bicycle Other parties that helped in the preparation of this report: Jeremy Hays and Khary Dvorak-Ewell RAISING CAPITAL FROM THE COMMUNITY Green For All Business Accelerator Program Introduction Community Capital Today’s economy brings new capital development challenges for the small businesses that drive green innova- tion and strengthen our neighborhoods. Obtaining traditional financing from banks has become increasingly prohibitive. Venture capital funds and angel investors seek businesses that provide fast growth and high re- turns. Cultivating a sustainable small business that prioritizes people and the environment generally does not lend itself to these conditions. A recent survey by the National Small Business Association (NSBA) found that nearly half of small-business respondents said they needed funds and were unable to find any willing sources, be it loans, credit cards or investors.1 Additionally, the novelty of small green businesses makes them more risky and less appealing for traditional sources of capital. Environmentally focused entrepreneurs often have little choice but to compromise their mission or the direction of their company in an attempt to secure financing. -
Equity Crowdfunding a New Phenomena
Journal of Business Venturing Insights 5 (2016) 37–49 Contents lists available at ScienceDirect Journal of Business Venturing Insights journal homepage: www.elsevier.com/locate/jbvi Equity crowdfunding: A new phenomena$ Nir Vulkan a,n, Thomas Åstebro b, Manuel Fernandez Sierra c a Said Business School Oxford University, United Kingdom b HEC Paris, France c Economics department Oxford University, United Kingdom article info abstract Article history: Crowdfunding has recently become available for entrepreneurs. Most academic studies Received 1 December 2015 analyse data from rewards-based (pre-selling) campaigns. In contrast, in this paper we Received in revised form analyse 636 campaigns, encompassing 17,188 investors and 64,831 investments between 30 January 2016 2012 and 2015, from one of the leading European equity crowdfunding platforms. We Accepted 4 February 2016 provide descriptive statistics and carry out cross-campaign regression analysis. The de- Available online 4 March 2016 scriptive statistics address its size, growth and geographic distributions in the UK. The Keywords: regressions analyse which factors are associated with the probability of a successful Equity crowdfunding campaign. We find some similarities and some interesting dissimilarities when comparing UK the descriptive statistics and regression results to research on rewards-based crowding. Campaign success The data show that equity crowdfunding will likely pose great challenges to VC and business angel financiers in the near future. We discuss some research challenges and opportunities with these kind of data. & 2016 Elsevier Inc. All rights reserved. 1. Introduction In recent years crowdfunding has emerged as a viable and popular alternative channel for entrepreneurs to fund their early stage businesses. -
Field Guide to Software for Nonprofit Immigration Advocates, Organizers, and Service Providers
THE FIELD GUIDE TO SOFTWARE FOR NONPROFIT IMMIGRATION ADVOCATES, ORGANIZERS, AND SERVICE PROVIDERS By the Immigration Advocates Network and Idealware THE FIELD GUIDE TO SOFTWARE FOR NONPROFIT IMMIGRATION ADVOCATES, ORGANIZERS, AND SERVICE PROVIDERS By the Immigration Advocates Network and Idealware THE FIELD GUIDE TO SOFTWARE FOREWORD Welcome, The Field Guide to Software is a joint effort between the Immigration Advocates Network and Idealware. Through straightforward overviews, it helps pinpoint the types of software that might be useful for the needs of nonprofit immigration advocates, organizers, and service providers and provides user- friendly summaries to demystify the possible options. It covers tried-and-true and emerging tools and technolgies, and best practices and specific aspects of nonprofit software. There’s also a section to guide you through the sometimes daunting process of choosing and implementing software. We know you have your hands full and don’t always have time to keep up with the latest information about the software that can help your organization. That’s where this guide can help. Thank you for all you do to make the world a better place. We hope this Field Guide will help you do it all just a little more easily. Matthew Burnett Karen Graham Director, Executive Director, Immigration Advocates Network Idealware iii THE FIELD GUIDE TO SOFTWARE TABLE OF CONTENTS TABLE 1. Introduction 7 • Understanding What You Need 8 • Every Organization Needs 10 2. Case Studies: Putting Tools to Use 13 • Using Technology to Expand Legal Services: Ayuda Delaware 14 • A Holistic Approach to Serving Immigrants: Benevolent Charities of Oklahoma 17 • Giving Voice to Immigrants: Idaho Coalition for Immigrants and Refugees 20 3. -
Predicting Startup Crowdfunding Success Through Longitudinal Social Engagement Analysis
Predicting Startup Crowdfunding Success through Longitudinal Social Engagement Analysis Qizhen Zhang, Tengyuan Ye, Meryem Essaidi, Shivani Agarwal, Vincent Liu and Boon Thau Loo University of Pennsylvania {qizhen,tengyy,essaidim,ashivani,liuv,boonloo}@seas.upenn.edu ABSTRACT concerning opinions on their industry and the background of their A key ingredient to a startup’s success is its ability to raise funding team. “Buyers” correspond to accredited investors that can choose at an early stage. Crowdfunding has emerged as an exciting new to make small risky investments in growing companies. mechanism for connecting startups with potentially thousands of Since this funding mechanism is a relatively new phenomenon, it investors. Nonetheless, little is known about its effectiveness, nor is unclear whether crowdfunding is as effective for entrepreneurs to the strategies that entrepreneurs should adopt in order to maximize raise funding as more traditional approaches, which rely on word- their rate of success. In this paper, we perform a longitudinal data of-mouth introductions and face-time with professional investors. collection and analysis of AngelList - a popular crowdfunding social On the one hand, the barrier to success is lower. Indeed, investors platform for connecting investors and entrepreneurs. Over a 7-10 in crowdfunded companies often perform less due diligence (com- month period, we track companies that are actively fund-raising on pared to traditional investors), due to the small amounts of capital AngelList, and record their level of social engagement on AngelList, they invest and their general lack of expertise. Companies seeking Twitter, and Facebook. Through a series of measures on social en- to raise capital via crowdfunding mechanisms also benefit from the gagement (e.g. -
THE PEER-TO-PEER FUNDRAISING TECHNOLOGY LANDSCAPE an Overview of Leading Peer-To-Peer Fundraising Software Platforms and Their Functionality 2018 EDITION
INCLUDES THE GUEST ARTICLE “Fundraging with Friends” BY AMY SAMPLE WARD CEO, NTEN THE PEER-TO-PEER FUNDRAISING TECHNOLOGY LANDSCAPE An Overview of Leading Peer-to-Peer Fundraising Software Platforms and Their Functionality 2018 EDITION © 2018 Cathexis Partners Version 1.1 ABOUT THIS GUIDE This guide was created for nonprofits as an introduction to some of the leading software platforms available today for peer-to-peer online fundraising. It provides an overview of 39 products and their functionality in six areas: • Design capabilities • Engagement capabilities • User interface • Administrative interface • Integration capabilities • Pricing Important Notes This guide covers many of the leading platforms available for peer-to-peer fundraising as of the guide’s writing. The world of peer-to-peer fundraising technology is continually changing; vendors are continually updating and enhancing their platforms and introducing new features. This guide offers an introduction to each platform, and does not attempt to include every detail about every feature included in each platform. Cathexis Partners strongly recommends that organizations review their specific requirements to support their campaign(s), mission, and audience; request software demos; and closely review any contracts with software platform vendors before making a software purchase. Cathexis Partners has not received compensation for including any product or information in this guide. Please note: The example campaigns provided in this guide may be seasonal, and links may not work in the future. © 2018 Cathexis Partners The Peer-to-Peer Fundraising Technology Landscape 2 SOFTWARE PLATFORMS INCLUDED • Arreva • GivingGrid • CauseVox • Giving Spirit • Charidy • GlobalGiving • CharityEngine by BIS Global • iRaiser • CharityWeb • Kindful • Classy • Mightycause (previously Razoo) • Click & Pledge • NeonCRM by Z2 Systems, Inc. -
Of an Effective Peer-To-Peer Campaign Classy.Org 1 TABLE of CONTENTS
PLAN THE RECRUIT OF AN EFFECTIVE ENGAGE PEER-TO-PEER CAMPAIGN FINISH RESOURCE GUIDES The 4 Phases of an Effective Peer-to-Peer Campaign classy.org 1 TABLE OF CONTENTS CHAPTER 1 CHAPTER 2 The 4 Phases of an Effective Peer- Peer-to-Peer Fundraising Basics to-Peer Campaign PAGE 3 PAGE 7 What is Peer-to-Peer Fundraising? Taking a Balanced Approach to PAGE 4 Peer-to-Peer Fundraising PAGE 8 Why does Peer-to-Peer Work so The Planning Phase PAGE 12 well? PAGE 5 The Recruiting Phase PAGE 19 By the Numbers PAGE 6 The Engagement Phase PAGE 25 The Finishing Phase PAGE 30 SUPPLEMENT New! Peer-to-Peer Campaign Readiness Assessment PAGE 34 The 4 Phases of an Effective Peer-to-Peer Campaign classy.org 2 Chapter 1 Peer-to-Peer Fundraising Basics The 4 Phases of an Effective Peer-to-Peer Campaign classy.org 3 What is Peer-to-Peer Fundraising? Peer-to-peer fundraising is a specific type of crowdfunding—“crowdfunding” being the term that’s commonly used to describe a collective effort to pool money together in support of a common goal. At Classy, we group crowdfunding efforts into two basic categories: single-tier crowdfunding and multi-tier crowdfunding. SINGLE-TIER Crowdfunding sites like Kickstarter and Indiegogo are “single-tier” because the user sets up a single campaign page and then reaches out to his or her contacts for contributions. DONOR DONOR DONOR MULTI-TIER Peer-to-peer fundraising is “multi-tier” because after the user sets up a campaign page, other supporters then create individual fundraising pages tied to the main campaign page and share those individual pages with friends and family to request donations (hence “peer-to-peer”). -
Advancing Gender Equality in Venture Capital
ADVANCING GENDER EQUALITY IN VENTURE CAPITAL WHAT THE EVIDENCE SAYS ABOUT THE CURRENT STATE OF THE INDUSTRY AND HOW TO PROMOTE MORE GENDER DIVERSITY, EQUALITY, AND INCLUSION Women and Public Policy Program Harvard Kennedy School October 2019 ADVANCING GENDER EQUALITY IN VENTURE CAPITAL WHAT THE EVIDENCE SAYS ABOUT THE CURRENT STATE OF THE INDUSTRY AND HOW TO PROMOTE MORE DIVERSITY, EQUALITY, AND INCLUSION This report was authored by Siri Chilazi, Research Fellow at the Women and Public Policy Program at Harvard Kennedy School. Please direct any correspondence to: Women and Public Policy Program Harvard Kennedy SchoolWomen and Public Policy Program 79 JFK Street Harvard Kennedy School Cambridge, MA 02138 October 2019 [email protected] TABLE OF CONTENTS THE CASE FOR CHANGE Foreword .................................................................................................................................................... 1 Why Should VCs Care About Gender Equality? .................................................................................. 2 An Ecosystem Approach to Advancing Gender Equality in Venture Capital .................................... 5 RESEARCH REPORT: ADVANCING GENDER EQUALITY IN VENTURE CAPITAL Venture Capitalists and Gender Equality .............................................................................................. 8 Industry-Wide Barriers to Gender Equality ............................................................................................ 9 What Works: Dismantling Industry-Wide -
Crowdfunding Projects of the Academic Community
Jagiellonian Journal of Management vol. 3 (2017), no. 3, pp. 209–222 doi:10.4467/2450114XJJM.17.013.9564 www.ejournals.eu/jjm Crowdfunding projects of the academic community Marta Tutko1 https://orcid.org/0000-0002-8359-8081 The Jagiellonian University in Kraków, Faculty of Management and Social Communication, Institute of Economics, Finance and Management Abstract The goals of the paper are: (1) to examine to what extent is the academic community in- volved in creating their own or supporting other crowdfunding projects and (2) indicate the types of educational or scientific projects that are the most suitable for crowdfunding financing. The diagnostic survey method was applied. Questionnaires were completed by 314 full-time students and 34 academic teachers of the Institute of Economics, Finance and Management, of the Faculty of Management and Social Communication, at the Jag- iellonian University in Krakow. It can be assumed that the academic community is hardly involved at all in creat- ing their own or slightly involved in supporting others’ crowdfunding projects. The most proper for crowdfunding financing types of the projects are: (1) for the entire academic community: educational event and setting up and equipping the student area, (2) for stu- dents: learning foreign languages and purchase of materials for the study process, (3) for academic teachers: conducting an experiment and book publication. Paper type: research article Key words: crowdfunding, crowdfunding project, higher education, academic community. Introduction One of the challenges for academic communities (students and academic teachers) is insufficient financial resources for their activities, especially in the area of educa- tion and research. -
Crowdfunding Cheat Sheet
Crowdfunding Cheat Sheet Crowdfunding is a new, transformative capital-raising process empowered by technology that turns the trust and goodwill of your network into funds to start or grow your business by allowing a large number of people to share small amounts of their social, creative, and financial capital Type of Donation Rewards Investment (JOBS Act) Intrastate/DPO Lending Crowdfunding contributions in exchange securities, unaccredited securities, online platforms for rewards or perks, and accredited** investors, unaccredited and How does it fundraising for personal that match pre-sales/pre-payment for subject to SEC rules - accredited** work? needs or causes borrowers with products before Reg CF, Reg D (506c), investors with individual lenders manufacturing Reg A+ state-specific rules individuals, individuals, startups & existing startups & existing businesses pre-startups, startups Who is it for? individuals, nonprofits pre-startups, startups, businesses with local with an investor strategy & existing existing businesses, nonprofits focus businesses ArtistShare ~ Barnraiser AgFunder** ~ AngelList** ~ Bankroll CaringCrowd ~ Causes Credibles ~ Crowd Supply CircleUp** ~ Crowdfunder** CauseVox ~ Classy Experiment ~ Fundable Crowdfund Mainstreet ~ EquityNet** CrowdRise ~ Deposit-a-Gift Hatchfund ~ iFundWomen Fundable** ~ Honeycomb Credit DonorsChoose ~ FirstGiving no platform needed Examples of Indiegogo ~ InKind Localstake ~ Manhattan Street Capital Kiva* Fundly ~ Fundrazr or state-specific Kickstarter ~ Patreon -
Creating Websites for Nonprofit Organizations with Jimdo
Creating Websites for Nonprofit Organizations with Jimdo You work hard for your cause —doing good work, coordinating volunteers, raising money. Now it’s time to spread the word and share what you do. A well-designed website is one of the best ways for your charity to get attention, promote your work, build trust, and make an even bigger impact. You can also turn your nonprofit website into a valuable tool to raise money, coordinate events, mobilize volunteers, and share successes. With Jimdo, you can build a website that’s easy to design and maintain, and that will show your nonprofit work in the best possible light. Read on for more information about getting started, designing, and optimizing your charity or nonprofit website. Getting Started with Your Nonprofit Website Starting your Jimdo website is simple. Visit www.jimdo.com/templates and select a template to try out. No pressure to choose the perfect one, though — you can change your template at any time without losing your work. Choosing a domain name A custom domain name (web address) is one of the best ways to make your nonprofit website look more professional and reputable. JimdoPro and JimdoBusiness customers get a custom domain included in their subscription. When you sign up for Jimdo, you’ll be prompted to register a domain name. If you already have one registered elsewhere, that’s great — you can use that address on your Jimdo site too. You can register any type of domain you like, but it’s best to go with a .org domain for your nonprofit website.