According to sebi the investment knowledge of indian citizens is not at par and hence popular models like equity crowdfunding and investment crowdfunding are not so popular in india. Pitch your start up in one go to investors from india and south east asia through impact guru s network and our partner fundnel.
Crowdfunding is governed by sebi securities and exchange board of india in india.
How to get crowdfunding for my business in india. And in some cases with equity crowdfunding for startups the investors may help you flesh out your business if your idea isn t viable on the market. Crowdfunding sites are all over the internet these days. There are sites where people can invest in your project idea or business.
As said above equity based crowdfunding is totally illegal in india whereas other types are legal. Not all business ideas require a grant bank loan or vc funds to get started. Luckily the bank is not your only option anymore.
Crowdfunding is becoming an increasingly popular way for entrepreneurs to fund their business ideas. Crowdfunding is not legal in many countries in the world including india. Crowdfunding or funding by crowd is a concept where a lot of people commit money to a venture or a project to raise a target amount of money in a stipulated time frame.
Most startups small enterprises and individuals avoid complex methods of raising funds. Crowdfunding presently in a pubescent stage has to face a lot of problems in india. Crowdfunding essentially relies on the idea of democratizing the flow of money into a project or business.
But there has been a. Crowdfunding rules in india. Then crowdfunding might be your next available option.
After you have made a business plan invested your own savings and worked your business as a side hustle for a few months it is time to raise some real capital. A very tiny percentage of businesses in india have chosen crowdfunding so far just around 1 according to a 2016 report of alternative board tab small business survey. Crowdfunding sites in india are helping innovators launch ideas social entrepreneurs bring social change and startups raise funds.
Raising money through bank loans venture capital and angel investors involve complicated procedures. Crowdfunding can also help you streamline the process of taking a proof of concept to prospective investors to see if there s a chance for success. But the crowdfunding scene in india is rather new with not much awareness amongst people.
Crowdfunding platforms in india though not as popular as in the us are slowly catching up and are playing a big role in fund raising. Crowdfunding a concept originated in the west much like most of other western ideas has started infiltrating the indian masses. Rather than relying on one person to fund the project we get a lot of people crowd come together to fund the idea project.
Crowdfunding is of many types.