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'We knew the banks wouldn't fund us': Investors may have been warned but crowdfunding can be a winner for new firms

article Crowdfunding
'We knew the banks wouldn't fund us': Investors may have been warned but crowdfunding can be a winner for new firms
Summary
Crowdfunding website Seedrs, which launched just over a month ago, has already secured investment for three start-ups.
Description
The Financial Services Authority last week warned inexperienced investors of the potential risks of using crowdfunding sites. These offer individuals the opportunity to invest small amounts in fledgling businesses. In return investors receive a small equity stake or benefits such as discounted or free goods. The risks for investors include businesses taking a long time to make a return or failing. Yet for small businesses, sites such as fundingcircle.com or crowdcube.com, can prove an attractive way to raise funds.Seedrs.com is the only crowdfunding site authorised and regulated by the FSA.
Tags: British crowdfunding company, Crowdfunding, Crowdsource, Crowdsourcing, Seedrs, UK
Benjamin Fossel Posted by Benjamin Fossel
Aug 28, 2012 12:26 pm GMT Viewed 1019 times
Author: Helen Loveless Source
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