In April the president signed in the JOBS Act enabling entrepreneurs and small businesses to solicit the public for investment in their companies. This means being able to skip over all of the hoops and headaches it has taken to get small business loans, file with the SEC or attract large venture capital firms in the past and get funds to launch and grow a new business quickly.
There are actually several different variations of crowdfunding to pick from. This includes: 1)Equity Based Crowdfunding in which those with capital actually take part ownership in the business and 2)Donation Based Crowdfunding in which money is given without any stake taken and private lending which means funds must be re-paid but no ownership or control is given up.
Founded in 2010, the industry website, Crowdsourcing.org, is a neutral organization dedicated solely
to crowdsourcing and crowdfunding. As one of the most influential and credible authorities in the crowdsourcing space,
Crowdsourcing.org is recognized worldwide for its intellectual capital, crowdsourcing and crowdfunding
practice expertise and unbiased thought leadership.