Crowdfunding

Raising small amounts from many people, often online, in exchange for equity or rewards.

Equity crowdfunding (e.g. via UK platforms) lets startups raise from the public in exchange for shares, often SEIS/EIS-eligible. Rewards crowdfunding offers products or perks instead of equity. Crowdfunding can validate demand and build a community but adds many small shareholders to the cap table.

Examples

A consumer brand raises £400k from 600 investors on an equity platform. — A hardware startup pre-sells units via rewards crowdfunding.

How it relates to The Startup Foundry

A compelling, investable pitch wins crowdfunding too. The Foundry’s storytelling and deck tools help you present clearly to a crowd of investors.

Related terms

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