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5 Equity Crowdfunding Reflections Before You Sign Up

Startup Professionals Musings

With the advent and growth of crowdfunding over the past few years, many entrepreneurs have predicted the demise of those demanding angel investment groups and venture capital organizations. I would summarize the qualms and feedback from professional investors as the following: Crowdfunding platform costs trickle down to angel groups.

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5 Crowdfunding Concerns Worry Professional Investors

Startup Professionals Musings

Most of the experience so far has been cash versus the equity feature defined by the JOBS Act – Equity Crowdfunding (Title III) , introduced back in 2016 with 685 pages of rules. I would summarize the qualms and feedback from professional investors as the following: Crowdfunding platform costs trickle down to angel groups.

Equity 80
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DroneBase nabs $7.5 million in a slight down round to double down on its work in renewable energy

TechCrunch LA

While chief executive Dan Burton acknowledged that the company was fundraising prior to the pandemic, the industrial lockdown actually accelerated demand for the company’s services. Even with the increased demand, the company had to make some changes. It laid off six employees and refocused its business.

Equity 154
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Domio raises $100M in equity and debt to take on Airbnb and hotels with its curated apartments

TechCrunch LA

Domio , a startup that designs and then rents out apart-hotels with kitchens and other full-home experiences, has raised $100 million ($50 million in equity and $50 million in debt) to expand its business in the U.S. “Domio is capitalizing on the global shift in short-term travel and the consumer demand for branded experiences.

Equity 136
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Sundae snags $36M to build out its distressed property marketplace

TechCrunch LA

He did note that in the four markets where the company has gone live since launching its business in January 2019 — San Diego, Los Angeles, the Inland Empire , and Sacramento — has yielded an annualized revenue run rate of over $400 million in gross merchandise value (the total value of home sales transacted on its platform).

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10 Sharing Principles Propel Many Current Businesses

Startup Professionals Musings

These are responding to the demands of this new world for collaboration, trust, and transparency. If you are at the funding stage, try the new crowd-funding platforms or micro-capital investments. Offer equity in future projects to people outside your business. In the idea stage, get customers involved with an engaging contest.

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Down bad

TechCrunch LA

Without the promise of riches or with reduced interest in blockchain-based exclusivity, where will consumer demand go? Subscribe to Chain Reaction on Apple , Spotify or your alternative podcast platform of choice to keep up with us every week. Crypto payment platform Nume raised $2 million in a pre-seed round led by Sequoia India.