Indiegogo is happy to share that we’re teaming up with StartEngine, an fairness crowdfunding platform to make sure that our entrepreneurs have entry to the capital they should proceed to develop their enterprise after their Indiegogo marketing campaign. The collaboration between us couldn’t have come at a greater time. After an preliminary post-pandemic growth in funding and hovering tech valuations, funding for startups worldwide fell 23% between the primary and second quarter of 2022. Financial uncertainty and dwindling inventory market returns severely impacted enterprise capital portfolios and deal-making exercise. Consequently, savvy founders at the moment are searching for various funding sources to assist preserve their startup desires alive.
“At a pivotal second for founders when many VC corporations have slowed their tempo of investments, we’ve joined forces with a fellow chief in crowdfunding to make sure startups constantly increase the capital they want. What we now have created is a funding ecosystem from an thought stage via Collection C,”
– Howard Marks, the founder and CEO of StartEngine, explains the distinctive benefits of becoming a member of Indiegogo and StartEngine’s platforms.
The Indiegogo/StartEngine startup ecosystem circulate:
- Launch a rewards-based crowdfunding marketing campaign on the Indiegogo platform to introduce or solidify a brand new idea and purchase prospects.
- Increase funds for proof of idea and minimal viable product or prototype and construct an enthusiastic neighborhood of backers.
- Migrate the neighborhood as the corporate transitions to StartEngine to launch a regulation crowdfunding marketing campaign.
- Increase capital to scale the enterprise whereas concurrently buying new shareholders who function champions of the model, motivated to see it succeed.
Becky Middle, the CEO of Indiegogo, believes that becoming a member of forces with StartEngine will show immensely useful for firms crowdfunding on the Indiegogo platform. Calling the collaboration “an ideal segue,” Middle shares, “A startup can start elevating capital with us to fortify an idea, purchase prospects and scale, and when the time comes, we are able to move the baton to StartEngine to assist them appeal to shareholders and lift the remainder of the way in which.”
Marks, who additionally co-founded the online game large Activision, firmly believes a founder ought to at all times be elevating. “As we’re seeing in our present financial system, you by no means know what’s coming across the nook…you shield your organization by frequently elevating and sustaining adequate capital.”
Whereas many founders assume enterprise capital funding is a necessity, Marks thinks in any other case, particularly now the 2 crowdfunding platforms have teamed up: “The reality is a few companies might by no means must take enterprise capital.” Working example, funds raised on Indiegogo, mixed with fairness crowdfunding on StartEngine – which might attain sums as excessive as $75 million in a single spherical – are sometimes adequate for firms to reinvest and develop.
Study extra about StartEngine and fairness crowdfunding right here.