Our announcement last week that SCcrowdfund.com is now open for applications from entrepreneurs and businesses looking for capital to start or grow their business received good media coverage. The portal enables small businesses and non-profits to put their business projects on either a donation crowdfunding or private placement investment platform and seek funding from South Carolinians.
This is your opportunity to put your business project in front of the public and ask for donations or investments. Go to SCcrowdfund.com and spread the word that we can grow our own local economies.
October 18, 2013
How about an equity share of a legitimate business in your community?
The biggest barrier to starting a small business often comes down to having capital, either in the form of investors or just cold hard cash. That’s why now, small business advocates are using technology to help connect investors with opportunity.
Wade Sellers had a dream, but he just needed $4,200 to get it out of his head and onto film.
“We must’ve done something right because we met our goal and about 10 percent and we were able to make the film,” said Sellers.
Sellers did it with help of dozens of online donors who had a little faith in his project.
“They’re people who are looking to have a serious stake in something new,” said Sellers.
Frank Knapp from South Carolina’s Small Business Chamber of Commerce boils it all down to risk vs. reward.
“Everything has risk, of course,” said Knapp. “With risk, you get high returns.”
That same crowdfunding model is now moving away from the arts and being geared to small businesses with the upcoming launch of the small business investment portal.
“Anyone will be go onto a portal that will have a list of businesses that are seeking investors and anyone can go on literally and say, ‘I want to invest in that business,” said Knapp.
Investors can purchase an equity share of any sized business from coffee shops to high tech ventures or they can choose to simply donate towards a business project.
“Investors like this who might know your reputation or your product might be more apt to invest for a percentage of the share,” said Scott Linaberry from Curtis Hanger Partners.
For Linaberry, who’s aiming to raise $4 million to renovate an historic hanger, finding funding from like-minded partners is not just a way to increase his own bottom line.
“When it’s narrowed down by projects in your region, and you want to see Richland County or the Midlands grow, here’s your opportunity to put your money where your mouth is,” said Linaberry.
The small business investment portal will officially open for business before the end of the year. But they are accepting applications from entrepreneurs who are trying to grow or start a business through crowdfunding.
Small businesses interested in using the crowdfunding model through the SC Small Business Investment Portal can visit SCCrowdFund.com
October 16, 2013
The South Carolina Small Business Chamber of Commerce on Wednesday began taking applications for its two new web portals.
“There is a growing demand for small business loans that our financial institutions cannot meet for one reason or another,” said Frank Knapp Jr., the president and CEO of the South Carolina SBCC. “Our new portal will provide the marketplace for these small businesses to seek donations and investments for their business projects.”
The site, SCcrowdfund.com, is designed to help local businesses take off and build capital without waiting on an economic upswing. Instead, business owners can solicit people for donations or investments through the website.
Anyone will be able to make a donation to the businesses that join the site. However, only people with high incomes will be able to invest in companies. Those investments will be handled through a private portal.
Details on what qualifies as a high income can be found on the website.
SCcrowdfund.com will allow people to fund local businesses through three methods: donation crowdfunding, which is essentially gathering donations from the public for a project; private placement investments, in which accredited high income people can contribute for a share of equity in the business; and security crowdfunding, which when approved by the Security and Exchange Commission will allow people to invest in exchange for small shares.