For one time only The Soho Loft offers the $495 Massolution 2013CF The Crowdfunding Industry Report that was released Monday with an access to an Angel pitching workshop where you get to meet and pitch them one-on-one at one of our largest event in NYC Thursday April 18.
“Consistent with our 2012 forecast, total crowdfunding volume nearly doubled last year, and with regulatory bodies continuing to pave the way, we expect global crowdfunding volumes to exceed $5 billion in 2013,” said CEO of massolution, Carl Esposti . “While lending-, donation-, and reward-based crowdfunding have thus far been leading this global financial revolution, equity-based crowdfunding is about to take center stage in the U.S. The JOBS Act, which will allow non-accredited investors to make investments in exchange for equity, is expected to go into effect by the end of 2013.”
Growth Rates By Region
Although crowdfunding offers a growing number of countries opportunities to access funds, North America and Europe raised much more capital than platforms in other regions.
- North America: crowdfunding volumes grew 105% to $1.6 billion
- Europe: crowdfunding volumes grew 65% to $945 million
- In total, all other markets grew close to 125%
Growth Rates By Models
The growth in funding volumes was primarily driven by lending- and donation-based crowdfunding, and by SME adoption of reward-based crowdfunding. The growth in lending volumes mainly stemmed from crowdfunded micro-loans and community-driven loans to local SMEs.
- Donation- and Reward-based crowdfunding grew 85% to $1.4 billion
- Lending-based crowdfunding grew 111% to $1.2 billion
- Equity-based crowdfunding grew 30% to $116 million
Most Active Categories
Crowdfunding first gained popularity as a way to fund creative, philanthropic, and social endeavors. This popularity prevails, but crowdfunding’s application for entrepreneurial ventures has also gained traction. Driven by models that offer financial return, the ‘Business/Entrepreneurship’ and ‘Energy/Environment’ categories are the next highest performing categories.
- Social Causes are most active, driving close to 30% of all crowdfunding activity
- Business & Entrepreneurship (16.9%), and the two major Art Categories follow: Films & Performing Arts (11.9%) and Music & Recording Arts (7.5%)
- Energy & Environment (5.9%) is the emerging category among the five most active
“Obtaining reliable and analyzable data on all aspects regarding new constituents- and market-related activity will be critical to the creation of the new crowdfunding industry,” said EGS Managing Partner, Douglas Ellenoff . “This includes more research on funding platforms, deals, investors, amounts being raised, actually raised, industries, and geographies. For the last several years, massolution has committed itself to developing these necessary capabilities, relationships and infrastructure to be the best positioned and most reliable market leader for this purpose.”
The 2013CF – Crowdfunding Industry Report is a research report that provides a unique and in-depth analysis of crowdfunding market trends and composition. The Crowdfunding Industry Survey, to which Massolution received 308 high-quality responses, was conducted during the first six weeks of 2013 and resulted in the most comprehensive data collection on the worldwide crowdfunding market to date. Massolution has conducted significant follow-up research via other reliable channels to complete the profiling of the global crowdfunding industry.
You can purchase a licensed copy of the report here. Broad distribution of the report was made possible by Founding Research Sponsor EG&S.
Journalists interested in a copy of the report can contact Jennifer Moebius at email@example.com.
Massolution® is a unique research and advisory firm specializing in the crowdsourcing and crowdfunding industries, that is helping to write the guidelines for a new way to do and fund business. Massolution works with governments, institutions and enterprises in the design and implementation of crowdsourcing and crowdfunding business models that drive improved business performance, product and service innovation, enhanced levels of customer engagement and in the formation of new sources of capital. Massolution also publishes the industry website www.crowdsourcing.org. To enquire about services, contact firstname.lastname@example.org, or for more information, visit www.massolution.com.
About The Soho Loft (www.thesoholoft.com)
The Soho Loft (TSL) Capital Creation Events is a corporate strategy and advisory services company specializing in financial innovation and economic sustainability. Through its global events and media platform it advances diligent mainstream and alternative investing for start-up entrepreneurs and small and medium-sized enterprises. TSL provides visionary leadership and relevant education in the areas of capital formation, crowdfunding, angel networking, non-conventional funding, EB-5 green card programs, microfinancing, venture capital, private equity and hedge funds.
TSL is a subsidiary of LDJ Capital, based in New York, USA. Its Founder and Chairman, David Drake, is a Founding Member of the Crowdfund Intermediary Regulatory Advocates (CFIRA) and of the Crowdfunding Professional Association (CFPA). He played a key role in the passing of the JOBS Act (Jumpstart Our Business Startups Act) in the United States. His advocacy for financial innovation has taken him to the global stage when he joined the U.S Commerce Department’s delegation to Brussels and Rome at the Transatlantic Economic Forum for SME Policy last July 2012 where he met with European ministers and national legislators. He is an international speaker and prolific writer on these topics.
Overall, TSL’s mission is to bring global awareness and develop infrastructure to facilitate innovative capital formation and access, and spur job creation. As such, The Soho Loft operates as the leading global corporate strategy adviser on financial and economic policy.
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