The best equity-based crowdfunding platforms

Equity-based crowdfunding involves raising capital by offering investors equity in a company. Unlike traditional crowdfunding, where backers receive rewards or products, equity crowdfunding provides investors with a share of ownership in the venture. This approach democratizes investment opportunities, allowing startups to access funding from a wider pool of backers and also enabling individuals to invest in promising ventures with lower barriers to entry. 

Equity Crowdfunding Platforms

There are a few stand out equity crowdfunding platforms that have emerged as key players in this exciting space. They include Dealmaker, Wefunder, and Start Engine. These equity crowdfunding sites have had a finger on the pulse of what makes a successful crowdfunding campaign and they provide user-friendly interfaces that streamline the entire fundraising process. Additionally, they have invested in robust regulatory compliance measures to ensure a secure and trustworthy environment for both entrepreneurs and investors. Let’s take a look at each of these equity based crowdfunding platforms.

DealMaker

Dealmaker, founded in 2018, has set out to transform how companies raise capital. Similar to how eCommerce transformed our shopping experience, DealMaker's tech allows startups to digitize their funding rounds and tap into investors across the globe.

What sets Dealmaker apart is its technology and the marketing support it provides to companies. It has a white-labeled back-end technology that takes the complexity out of the process. Also in 2017, DealMaker acquired Ridge Growth Agency, a marketing agency that helped companies raise over $450 million in equity crowdfunding. The acquisition allows DealMaker to now offer robust marketing support to its clients.

In only four years, DealMaker has powered over $1.7 billion dollars in capital, more than double any leading US counterpart in less than half the operating time.

Some of the platform's successful crowdfunding examples include leading international brands like the NFL’s Green Bay Packers, Osisko Development Corporation, and Carbon Streaming Corporation.

Wefunder

Since its establishment in 2011, Wefunder has been instrumental in reshaping the startup funding landscape. Wefunder is a Public Benefit Corporation and their mission is to fix capitalism.  In 2012, the founders set out to persuade Congress to allow anyone to invest in startups. They believe that the more investing opportunities there are for the everyday person, the more everyone wins. Their persuasion worked and they were invited to watch President Obama sign the JOBS Act into law in 2014.

Wefunder has built an interface that is intuitive and seamless so that both entrepreneurs and investors can navigate the investment process with ease. The company also provides comprehensive educational resources to founders and investors to navigate the equity crowdfunding process.

Since its launch, Wefunder has helped over 3,000 founders raise nearly $700 million in capital.

Start Engine

Since its debut in 2014, Start Engine has been making waves and revolutionizing how startups raise capital. Their mission is to help entrepreneurs achieve their dreams. The company even recruited Kevin O'Leary, aka Mr. Wonderful from the TV show Shark Tank, as a strategic advisor/paid spokesperson to achieve its mission.

Founders that utilize the platform receive access to Start Engine's built-in community of 50,000 investors and $650,000 in perks from their various partners.

Since its launch, Start Engine has helped founders raise over $1.2 billion in capital. Additionally, 90% of the companies on the platform reach their fundraising goal. 

Conclusion

Dealmaker, Wefunder, and Start Engine each bring a unique set of strengths to the table for founders seeking to raise money for their businesses.

Together, these crowdfunding websites have transformed the way startups access capital and how investors participate in early-stage investing.

Looking ahead, the future of equity crowdfunding looks bright, with these platforms firmly positioned to continue playing a pivotal role in fostering entrepreneurship, innovation, and economic development.