Crowdfunding for Women: The Capital Raising Equalizer
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Crowdfunding for Women: Capital Raising Equalizer By Jessica Sun, CEO RCTV Manolis Sfinarolakis, Founder RCTV
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Transcript of Crowdfunding for Women: The Capital Raising Equalizer
Crowdfunding for Women: Capital Raising Equalizer
By Jessica Sun, CEO RCTV
Manolis Sfinarolakis, Founder RCTV
Purpose Gain a better understanding of
what crowdfunding is Introduce you to the 9 stages of
crowdfunding Understand the difference
between Rewards, equity, and debt based crowdfunding
Motivate you to use crowdfunding to achieve your business goals
Understand how Women led crowdfunding campaigns have a high success rate compared to traditional financing means
Ground Rules Participate One conversation at
a time Cell phones off
during class No laptops Ask questions Respect others’
opinions Respect
confidentiality
Introduction to Founders
Jessica Sun➢ CoFounder & CEO, Reality Crowd TV Media Corp.➢ Brand Management, Marketing, and Brokerage Operations
experience in multiple industries➢ Educated/consulted multiple crowdfunding campaigns on
what crowdfunding is and the process around it➢ Attended multiple crowdfunding events to get the mission of
our company out there and further educate people on Crowdfunding
➢ Education experience with the NYC Department of Education. Created curriculums for both Math and Science Classes
➢ Big 4 Accounting Firm experience with Deloitte & Touche. Auditing S-1 documentation for broker/dealer that raised 1.2 billion during IPO.
➢ BA in Math, Finance, and Economics from Binghamton University
Introduction to Founders Continued
Manolis Sfinarolakis➢ Founder, Reality Crowd TV Media Corp.➢ Member of Crowdfunding Professional Association (CfPA),
Crowdfund Intermediary Regulatory Advocates (CFIRA), and National Crowdfunding Association (NLCFA)
➢ Multiple speeches given on the topic of Crowdfunding in states across the U.S., including Connecticut, New York, Georgia, Denver, Seattle, Texas, Washington D.C., and Florida
➢ Insurance Industry experience with The Hartford Insurance Group within the Internal Audit Department.
➢ Big 4 Accounting Firm experience with Deloitte & Touche. Auditing S-1 documentation for broker/dealer that raised 1.2 billion during IPO.
➢ BS in Business Administration, Concentration in Accounting from University of Connecticut
What is Crowdfunding? “Crowdfunding is converting social capital into
actual capital through the internet.”
Crowdfunding is growing rapidly
The 9 Stages of Crowdfunding Successful campaigns take at least 3 months of
pre-launch activities before they launch their project (to go into detail later in the presentation):
Business Planning Intellectual Property Social Media Public Relations Campaign Strategy Networking Team Building Website Development Profile & Video
Donation Based Crowdfunding Used mainly by charities, medical emergencies, or
natural disasters. Top websites used for donation based crowdfunding:
YouCaring.com DonorsChoose.org
No rewards offered, straight donation. Must have a compelling story that inspires action. Highly dependent on social capital and relationships. Amplified by PR and Social Media execution ahead of
time. If 501(c)3, tax benefit to the donors.
Rewards Based Crowdfunding Contribution in exchange for a reward. Used by many
different non-profits, businesses, artists, film makers, and entrepreneurs. The crowdfunding of choice for Startup companies. Capital raised without giving up equity / taking on debt!
Top websites used for rewards based crowdfunding: Kickstarter.com IndieGoGo.com
Highly dependent on social capital and relationships. PR is most important, followed by social media. Video must be top notch to tell a compelling reason why they
should invest in the person’s project, especially if it is a for profit enterprise.
Must reach 30% of funding within the first week of the campaign (90% success).
Equity Based Crowdfunding Investment in exchange for equity. Title II, Title III, and
Title IV of the 2012 JOBS act. Title II allows for the general solicitation of Accredited
Investors for investment in small businesses via the internet / crowdfunding websites.
Title III will allow for the general solicitation of Un-Accredited investors for investment in small businesses via the internet / crowdfunding websites.
Title IV allows for general solicitation of both Accredited and Un-Accredited investors, however, it is state by state crowdfunding and takes months to close.
Top websites used for equity based crowdfunding: Angellist.com Realtymogul.com
Debt Based Crowdfunding Investment in exchange for bond. Title II, Title III, and Title
IV of the 2012 JOBS act. Title II allows for the general solicitation of Accredited
Investors for investment in small businesses via the internet / crowdfunding websites.
Title III will allow for the general solicitation of Un-Accredited investors for investment in small businesses via the internet / crowdfunding websites.
Title IV allows for general solicitation of both Accredited and Un-Accredited investors, however, it is state by state crowdfunding and takes months to close.
Top websites used for debt based crowdfunding: Patchofland.com LendingClub.com CircleUp.com
Video?
Successful Women led Crowdfunding Examples Case Study: Bia Sports Watch:https://www.kickstarter.com/projects/956860865/bia-the-first-gps-sports-watch-for-womenby-women?ref=nav_search
Case Study: Knix Wear, High Tech Underwearhttps://www.indiegogo.com/projects/knix-wear-high-tech-multi-tasking-underwear
Case Study: OUYA, A new kind of video game Counselhttps://www.kickstarter.com/projects/ouya/ouya-a-new-kind-of-video-game-console?ref=nav_search
Women and Crowdfunding Statistics On Kickstarter, where backers make
contributions in exchange for rewards, women-led companies account for less than 10% of technology projects. But roughly two-thirds of women-led technology ventures reached their fundraising goals versus just 30% of technology ventures with male founders
Women are 13% more likely than men to meet their Kickstarter goals
Women often succeed in crowdfunding because other women activists often support women campaigns.
Women are 61% more likely than men to meet their financial targets on its site, Indiegogo Inc. says
Women account for 44% of Kickstarter backers
Top Crowdfunding Platforms 1. CrowdHelps: CrowdHelps is a Crowdfunding site for Women.
Women from around the World can raise money online for any life situation
2. Buzzbnk: A UK platform that supports social entrepreneurs and innovators. “Positive People Backing Bright Ideas.”
3. StartSomeGood: StartSomeGood empowers “social innovators,” and forwards the trend of social entrepreneurship. It is a relatively new social site.
4. Crowdrise: Named the “Top 25 Best Global Philanthropist.” Since 2009, Crowdrise has helped bring together volunteers and philanthropists to spread the call of service.
5. Kickstarter: A project crowdfunding website that any organization or individual can use to finance their event or project.
6. Indiegogo: An international crowdfunding site for creative types that can also be used to raise money for charity and non-profit organizations.
7. Rockethub.com: A crowdfunding platform used by all types of organizations and individuals ranging from scientists to philanthropists.
8. Pozible.com: An Australia-based website that encourages creative projects and ideas. This website can also be used for charity purposes.
Workshop Activity Get into groups of 4 (We can get into groups
based on industry). A. Discuss ways you can utilize crowdfunding
to get your cause to reach your target audience B. Discus project ideas. What types of campaign
can you use crowdfunding for? C. What are some obstacles you are facing now?
Can crowdfunding help? D. What are some ways you tried to get funding?
Come up with ideas how you can utilize crowdfunding to enhance these ways.
We will then come together and discuss as a group.
Questions? Our contact information:
Email: [email protected]: www.realitycrowdtv.comPhone: 203-232-2462
