Kyle
Crowdfunding is all the rage these days. Kickstarter seems to be one of the quickest way to get a tangible product startup, movie, or book off the ground. The downside to Kickstarter is that you can’t invest in businesses and startups.
The JOBSAct was passed earlier this year and the SEC is currently working on the rules and regulations that will apply to those crowdfunding their startups. Until the JOBSAct, to legitimately invest in a startup as an accredited investor you typically had to have a net worth of over $1 million dollars excluding your residence. This made it tough for those that wanted to invest in startups but didn’t monetarily qualify from an accreditation standpoint.
There’s no doubt that crowdfunding for startups will be hot but truthfully it probably won’t officially roll out until the spring of 2013, regardless of what others are saying.
If you’re jonesing to get started with crowdfunding your startup, you could incorporate across the pond and then use UpandFunding which is a UK based crowdfunding site that’s starting to pick up some serious traction.
UpandFunding isn’t just about startups though, you can also invest in established businesses and establishes businesses can go to upandfunding.com to raise capital at anytime for any need. UpandFunding, because they are based in the UK, can already allow small, crowdfunded investments for actual equity.
We got a chance to talk to UpandFunding in the interview below: