3 Crowdfunding Trends To Watch For 2015

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There are hundreds of crowdfunding platforms available today, so Kickstarter and Indiegogo aren’t the only options that are available. Small businesses can raise large amounts of capital. With equity crowdfunding on the rise, investment opportunities for the average person are also on the rise. We are on the brink of a potential financial revolution where the wealth gap in the US and around the world might finally be able to close a little bit.

2015 looks to be a key year in the future development of the crowdfunding medium. Here are the 3 trends that you’re going to watch in the coming days.

1. Crowdfunding Will No Longer Be Considered A Novelty

It wasn’t that long ago that businesses were laughed at if they approached crowdfunding as a legitimate business opportunity. It was almost considered a last-ditch resort to raise some cash. As 2015 approaches, a new business announcing their crowdfunding campaign has become about as common as any other funding option. Even the media has started to highlight interesting crowdfunding campaigns frequently.

This provides crowdfunding with a sense of normalization. It means that sending a few bucks to a business as a reward, an investment opportunity, or just a basic donation is thought of as a common practice. When enough backers get together, the results can be huge. Just look at the $13 million plus that Coolest raised in 2014.

2. Crowdfunding Will Change The Fundraising Dynamic For Non-Profits

Non-profit, charitable organizations have traditionally approached fundraising as a community-based task. This is especially true for local non-profits with a very limited impact outside of their region. Now crowdfunding can give a local non-profit worldwide access to donors who might be moved by their mission. It is disrupting the entire industry because small charities are getting cash that is normally donated to the larger entities.
There’s also a second benefit: crowdfunding helps non-profits be able to manage their donations in a much more organized, accessible fashion.

3. Massive Growth Is Going To Happen

States have already begun to fill in the gaps of equity crowdfunding in the United States. Other countries have already made equity crowdfunding available to non-accredited backers. As the restrictions continue to be lifted and more people are able to invest into new business opportunities in a relatively safe way, all crowdfunding platforms are going experience a massive amount of growth.

Authors can get their books pre-funded before they write them. Artists can sell commissions directly. New technologies can get 100% equity funded if necessary. New businesses can better dictate how much equity they’re willing to give up in order to get the capital that they need.

In the next decade, crowdfunding could be a $100 billion per year market. That’s why 2015 is an important year and why these specific trends need to be closely watched.