The best equity crowdfunding sites are, of course, those that will help you reach your goals the fastest. It can make a massive difference if you choose one of the top equity crowdfunding platforms or at least a perfect one to handle your investment. But how to choose? We provide this brief guide to finding the best equity crowdfunding sites on the net. We can help you decide which equity crowdfunding sites best match you.
Equity Crowdfunding Sites: Your Choices
There are many ways to look for the best equity crowdfunding sites for your pitch. Different projects or investment ideas may require additional homework, so remember that some but not all of the following may be relevant to your choice. Think about your personal preferences and the different things that anyone would need to know, and that will be your guide. For example, if your project can make a strong case visually, look for an equity crowdfunding site that offers that approach. On the other hand, if you need to impart facts and numbers, you may find subtle differences between equity crowdfunding sites that help you choose. Here are some general rules:
The best equity crowdfunding sites give data.
Look for equity crowdfunding sites that give a lot of data to potential investors that appear reliable and easy to understand. Make sure that these statistics make it easy to decide not only which investment is worthwhile but also whether to invest in at all. The best equity crowdfunding sites will present a well-rounded and honest look at investor options, with functions that make it easy to compare. There will not be much pressure, and the information will appear well-rounded and fair as if it has been vetted by someone outside the person making the request. If your pitch can win based on data, these may be the best equity crowdfunding sites for you.
The best equity crowdfunding sites have traffic.
The top equity crowdfunding platforms have attracted the most people and the most money, at least when compared to sites that have been around for an equal amount of time. You can benefit from the collective homework done by others when you choose the best site for your investment. In other words, trust the crowd – where they go may be quite informed!
Most top equity crowdfunding platforms are established.
While it is difficult to say whether the best crowdfunding sites for equity investments are necessarily the oldest ones, there can be an advantage of looking toward an older site for your investment if it means that you can do more independent research about others’ happiness with the site. Look up independent reviews – though finding a genuinely independent review of the best equity crowdfunding websites can be a challenge – and also find forums where others relate their experiences. One way to see whether a site review is truly independent is to notice whether or not it has links to the sites being reviewed. Links may mean the site is paying the person a commission.
Finding the best equity crowdfunding sites
If you know other entrepreneurs in your field, ask around – you may be surprised to find out how much homework has already been done by other entrepreneurs. They may have chosen among the best equity crowdfunding sites themselves, and you can use their recommendation. They may have tried multiple sites and can tell you how they all stacked up.
Equity crowdfunding sites innovations
This may sound like we contradict ourselves, but you should watch for new equity crowdfunding sites that bring innovations. You may not want to dive in immediately to any new site, but we don’t want to dismiss them entirely. Every one of the top crowdfunding sites started somewhere, and if you are looking for funding but don’t want too much competition, this might work. It may still be prudent to wait to see if the site has staying power and seems to be attracting investors.
Look for independent PR
The best equity crowdfunding sites will get PR that is genuine and well-earned. When a site receives the notice of national media or a well-known and popular project gets noticed, the site itself may get new attention from investors and recent presentations from excellent projects. This surge in traffic and interest can be suitable for your use. Keep notice of mentions in the news or on popular general crowdfunding websites and see if you can capitalize on that timing.
Equity Crowdfunding Sites Q&A
Are there specific “best” equity crowdfunding sites?
There are many equity crowdfunding sites available for your project or purpose. There is no specific equity crowdfunding site that we can say everyone should go to. Most consultants that only refer to one site may have a specific deal with that site that compels them to do so. We provide you with a short list of equity crowdfunding sites that may be a good fit, along with information about each. The best equity crowdfunding sites for you may differ from those for another project.
Do equity crowdfunding sites charge fees?
Most equity crowdfunding sites charge fees, but the fee agreements can differ among the top sites. One of the pieces of homework that you should do (and we can help with) is comparing the fee structures of different equity crowdfunding sites to see which one may be best for you. Some sites charge investors some of the fees, others charge you, and some use fees along the way, while others charge a fee at the end depending on how much you raise.
Do equity crowdfunding sites allow other forms of crowdsourcing?
Many equity crowdfunding sites allow you to have some of your raise be debt or rewards. These combinations can help lower the amount of equity you give up in the deal, but they can be complicated. Some investors prefer deals with something other than equity to guarantee some payback, even if the product or service is not profitable.
Why don’t we list sites here?
All of the above seems to hint at the idea that for your purpose, there is one best site for all. However, you need to remember two things when entering this arena. First, the best equity crowdfunding sites for your project may be unique to you; therefore, you will find no easy answer without researching. You can find lists with a simple search, but keep in mind that you are searching in general – we feel that finding the best equity crowdfunding sites uniquely fits your project and is not necessarily at the top of a list somewhere. You’ll notice that we do not have affiliate links like other sites – we’re not looking to publish a list that will get clicks and payments to us.
These are just some of the questions that may come up as you look into equity crowdfunding sites, but we are here to answer any other ones that come up. We also have posts about the pros and cons of crowdfunding in general and a look at equity crowdfunding from the investor side.
We can help you choose equity crowdfunding sites for your purpose with our free matching services. Again, we consider all areas, not just an affiliate or two! Feel free to contact us to discuss this further.