What are the modes of crowdfunding? What are the modes of crowdfunding?

There are many types of crowdfunding models, but the most popular ones are now divided into four categories: return crowdfunding, bond crowdfunding, equity crowdfunding, and donation crowdfunding.

1. Return crowdfunding, investors invest in projects or companies in the early stage to obtain products or services (I give you money, you return my products or services).

2. Bond crowdfunding, investors can obtain a certain proportion of the creditor's rights of the project or company, and can obtain interest income and recover the principal in the future (I give you money, and you will repay my principal and interest later).

3. Equity crowdfunding, investors invest in a project or company to obtain a certain percentage of its equity (I give you money, you give me shares of the company).

4. Donation crowdfunding, where investors donate to projects or companies for free (I give you money, you don't have to give me anything).

Crowdfunding rules: 1. The fundraising project must reach or exceed the target amount within the time preset by the initiator to be considered successful.

2. Within the set number of days, if the target amount is reached or exceeded, the project will be successful and the initiator can obtain funds; After the completion of the fundraising project, the supporter will receive the return promised by the sponsor in advance, which can be in kind or services, and if the project fails to fundraise, then all the funds obtained will be returned to the backer.

3. Crowdfunding is not a donation, and all support from supporters must have corresponding returns.

Regardless of the crowdfunding model, in the crowdfunding business model, fundraisers, funders, and crowdfunding platforms all add value.

Hope mine can be helpful to you, thanks.

Crowdfunding refers to the publication of fundraising projects and raising funds through the Internet. Compared with traditional financing methods, crowdfunding is more open, and the commercial value of the project is no longer the only criterion. As long as it is a project that netizens like, they can get the first fund for the start of the project through crowdfunding, which provides unlimited possibilities for more people who operate or create with a small capital.

At present, the main crowdfunding models in China are product crowdfunding and equity crowdfunding.

Product crowdfunding is the pre-sale + ** model of goods, and you will get goods after participating.

Equity crowdfunding refers to the transfer of a certain percentage of shares by a company to ordinary investors, who obtain future income by contributing capital to the company. This model of financing based on Internet channels is called equity crowdfunding. Another explanation is that "equity crowdfunding is the Internetization of private equity".

1. Debt crowdfunding.

In fact, it is P2P, crowdfunding in the form of repaying the principal and paying relevant interest, through creditable loans, or mortgages, etc., there are many such platforms in China, for example, Renren Loan. To put it bluntly, I give you money, and you end up giving me the principal and the interest accrued.

2. Equity crowdfunding.

That is, the investor invests in you, and you use the corresponding equity of the company as a way of return, such as the proportion of equity, such as the number of shares. , which is a high-risk investment. To put it bluntly, I give you money, you give me shares.

Of course, when there are too many shareholders, it is easy to lead to too scattered shares, not every partner is so reliable, and the risk is very high, so it is important to grasp the equity design model. There are also several ** of equity crowdfunding.

3. Charity crowdfunding.

There is no direct return, and participating in charity is a good package for both individuals and businesses. It is a manifestation of spiritual value, to put it bluntly, I give you money, and you give me a sense of accomplishment in helping others.

4. Product crowdfunding.

For example, a company's product, which is still in production or only pre-sale, through crowdfunding, to get the user's financial support, the way to return is to get the product, the product can be a virtual service, or some activities, events, or physical objects. To put it bluntly, you give me money and I give you the product you want. For the initiator of crowdfunding, the product has not yet been produced, so it is crowdfunded in advance, and then the advance payment is used to produce the product according to the actual quantity, at least it can ensure that the product cannot be sold, and it also saves a lot of costs.

The crowdfunding model is mass fundraising or crowdfunding, which is translated as "crowdfunding" in Hong Kong and "crowdfunding" in Taiwan. It is composed of promoters, co-investors, and platforms. It has the characteristics of low threshold, diversity, relying on the power of the public, and focusing on creativity, and refers to the behavior of raising funds from the masses to support the individuals or organizations that initiate them.

Generally speaking, sponsors and proposers are connected through online platforms. Crowdfunding is used to support a variety of activities, including disaster recovery, private fundraising, election campaigns, start-up fundraising, art, free software, design and invention, scientific research, and public projects.