Why is equity crowdfunding so popular?

22.05.2018

Equity crowdfunding is a service through which people, aka the crowd, can invest in innovative startups and help bring great ideas to life. Companies that run equity rather than reward-based crowdfunding campaigns give their contributors a financial share of their business.

This sort of investment is now one of the largest sources of funding for startups and its popularity does not seem to go down anytime soon. So why so many people choose to invest in startups specifically through equity crowdfunding services?


Why would you consider investing?

People choose to invest in crowdfunding campaigns for many different reasons. However, one aspect connects them all - you have to believe in a certain idea. Once you support an equity crowdfunding campaign, you are in for the ride, including the ups and downs and everything in between that startups inevitably go through. This means that you are not only greatly helping to realize the idea that you believe in, but also getting a chance of a substantial financial benefit from your investment.


3 ways you can benefit from your contribution

  1. Equity crowdfunding investors receive shares in exchange for their contributions. This means that if a company, that you are supporting, goes to achieve great things, your shares might translate into a significant return on your investment. The money that you are investing, help companies bring their ideas to life, develop, grow and ultimately make a profit. Through equity crowdfunding, a certain amount of this profit is shared with the contributors that believed in the idea, to begin with. So if your investment helps a company to reach success, you might be entitled to a substantial share of it.

  2. Another way for the investors to make money from their contributions is if a company, that they invested in, later on, gets acquired by another corporation. In this case, your shares typically get converted into the acquired companies shares.

  3. Lastly, if by any chance you would lose interest in the idea that you once invested in, you can always sell your shares to someone else.


Investing in Vultus?

When it comes to Vultus and our upcoming equity crowdfunding campaign, we offer a rare opportunity to get involved in one of the main areas of the agriculture technology revolution by investing in the leading fertilizer distribution service. As we continue to grow, our early investors will gain generous returns, become involved in disrupting current agriculture practices and help us enable waste-free farming. Investing in Vultus is an opportunity for you to make a difference.