Equity Crowdfunding: A Beginner’s Guide

Equity crowdfunding is a way for people to invest in startups and early-stage companies. It is a regulated investment vehicle, and people need to use a funding portal such as Wefunder, Republic, StartEngine or any FINRA-regulated portal. You can browse through the various offerings, and invest in the companies that you believe in.

Platforms like Wefunder and SeedInvest have been around since the early 2010s, but they gained popularity after the JOBS Act was passed in 2012. The JOBS Act made it easier for startups to raise money from investors by loosening some of the regulations around who can invest in private companies.

So why would someone want to invest in a startup company? The returns on these investments can be quite high, as startups often have a lot of growth potential. However, there is also a certain amount of risk involved, so it is important to do your homework before investing. When you invest in a startup company through equity crowdfunding, you are taking on a risk. You should never invest more money than you can afford to lose.

Want to know which startups are currently running equity crowdfunding campaigns? Searching through dozens of funding portals to find out who is raising investor funds can be exhausting. I created The Crowd List so that you can find all equity crowdfunding campaigns in one place! First month is free with code "INDIEHACKERS"!

Originally posted on: The Crowd List Blog