Crowdfanding (from English crowd, crowd and funding, funding) is a collective collection of funds for the project, usually via Internet platforms. Rather than resorting to traditional investors or creditors, a start-up entrepreneur seeks support among potential buyers, like-minded persons sharing their ideas and values.

Cropfanding finance is usually used at a time when the start-up money is over, but it is not too early to attract large investors or to use borrowing. This method has proved its effectiveness on several occasions. There are thousands of successful projects in the world that have been implemented through the support of collective funding.

Crowdfanding, apart from fund-raising, offers a chance to explore the target audience, assess the viability of the idea and test the first samples. Besides, it's a way to tell people who don't know about it.

By the way, the winner of the federal Youth Entrepreneurship competition, Ilya Basharin, who, with the help of the cruise platform, collected money for his start-up and tested the product, was using this fundraising.

Crudfanding species

Kraudfanding proposes several ways to achieve the goal, each of which has its own characteristics.

Failure or donor is the simplest type. In this case, people sacrifice money for the project without expecting material compensation. This approach is ideal for charitable projects, cultural initiatives, scientific research.

For remuneration, the most common type, it presupposes certain awards in exchange for investments. These may be exclusive products, first samples of products, participation in a closed presentation, meetings with creators. It's attractive for creative projects, technological starts.

The loan Kraudfanding makes it possible to obtain money in debt from many people, usually with a fixed interest and a return period.

The money-gathering mechanism through the cruise platforms is quite simple. It involves three parties:

Operator (arbitr) - Craudfanding site where funds are collected
Author (recipient, faunder) is a party to the project for which a fee has been announced
Donor (sponsor, Baker) is the man who invested in a voluntary project
The proponent of the project publishes his proposal on a special site. The operator assesses it in terms of capacity, probability of collecting the required amount. That is why it is important to make a qualitative presentation of the project, with time and amount calculations, without forgetting to include the commission of the logo and the amount of the tax (if the author is a private person, he will have to pay the NPFL 13 per cent).

After reviewing the proposal, the sponsors are transferring some amount to the platform. In doing so, the authors may choose several remuneration options. For example, a minimum, 50 or 100 roubles may be non-reimbursable, symbolic, up to 1,000 roubles in exchange for a trademark, a circle, etc. Participants willing to invest larger amounts may be invited to a closed presentation, etc.

If the amount is collected by the prescribed time limit, the operator will list it to the faunder and the project begins. If not, the money is returned to the participants, the operator is doing it. The project ' s own author handles the repayment.

Kraudfanding is an opportunity not only to implement the project, but also to test the product without large investments. This tool can be useful to start-up businesses from different niches and is actively used by entrepreneurs.

It will be recalled that financing in its project is also available through the Investment Project Vision for SMEs. The site meets those who need investment and who are willing to invest in other projects. Investment proposals in the catalogue of the Digital Platform are structured, business plan and are at different stages of implementation.

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In the Yaroslav region, various assistance is provided to entrepreneurs through the Mala and Middle Entrepreneurship Project, as well as to industrial enterprises under the " Productivity " project and the " International Cooperation and Export " national project.

All support measures for small and medium-sized businesses can be accessed on my business site.

Details of all support measures for industry and investors on the investing site