Crowdfunding Essay Example | Topics and Well Written Essays - 500 words

Crowdfunding - Essay Example From this discussion it is clear that the reward can be service or product that the company offers. Just like the donation approach, the method does not have equity or financial return. The advantage of the method is that it lets capital seekers to incentivize their investors without selling ownership stake or incurring extra expenses. Equity-based offers the investors the opportunity to have a stake in the business. In this respect, the investors have a chance to trade capital for equity shares. The implication is that the contributors get a financial return on the investment, as well as, dividends.As the report highlights that  crowdfunding presents numerous advantages to the movie producer. First, the strategy facilitates access to many accredited investors in which the entrepreneur can interact and share the fundraising campaign. The borrower can review the potential investors and select the best out of a large pool.  The producer can promote the campaign through the email ne wsletter, social media, and other online marketing platforms. The media platforms mentioned above make the campaign viewable to the thousands of potential investors.  Crowdfunding offers the potential funders an opportunity to be part of the company, especially in the equity-based approach. With the equity - based approach, the funder can trade in shares. The implication is that the funder gets financial investment and dividends.