By Brian Dengler New York City – August 10, 2012
“Crowdfunding could be a $6.2 Billion US market in 2013”, CfPA Chair Sherwood Neiss told participants at a live webinar today sponsored by New York’s General Assembly. More than 100 participants heard Mr. Neiss and Ryan Feit, co-founder and CEO of SeedInvest, LLC, provided an overview of crowdfund investing and other forms of crowdfunding in a program called “Essentials of Crowdfunding.”
Mr. Neiss, a principal of Crowdfund Capital Advisors, explained why crowdfunding is a game changer for the US economy. Only 2.5% of startups currently are funded by venture capital, according to Mr. Neiss. Equity-based crowdfunding may fill a gap for small businesses seeking up to $250,000.
At least half of all jobs in the US are generated by startups and small businesses, Mr. Neiss observed, but raising capital for such small businesses has dried up since the 2008 recession. “The new jobs come from entrepreneurs themselves,” he said, “if we can’t get capital to create jobs, how can we get out of this recession?”
This post was written by SeedInvest on August 13, 2012
Crowdfunding Could be a Job Creator and a $6.2 Billion Market