Many companies that aim to raise capital, use crowdfunding as an alternative to traditional funding. In securities-based crowdfunding, companies pool money from a large number of investors. This is a common way for them to jumpstart their capital formation on the internet through crowdfunding portals. Today, crowdfunding continues to increase in popularity, as a growing multiple billion-dollar industry.
Engaging in equity crowdfunding requires the use of a funding portal registered with the SEC and FINRA. The crowdfunding process involves three main steps:
- Coming up with an innovative idea
- Bringing that idea to life through a product or service
- Modeling the product in an engaging way that acts as an investor pitch to increase your audience
Marketing the product is vital to ensure that all the work you put into creating and developing it pays off by attracting interested, dedicated, and passionate investors. Further, it can be incredibly difficult to effectively create, develop, and persuasively advertise a service or product, as each of these steps require different specialized skills. Issuer Consulting, as your crowdfunding consulting firm, will ease your burden by guiding you through the process of executing a successful offering and connecting you with the best funding portal to fit your needs.