The Case for Crowdfunding

There are lots of opinions on how the crowdfunding aspect of the JOBS Act will impact fundraising.  However, we will look at one POSITIVE aspect of why crowd funding can be beneficial.One of the most difficult hurdles for startups is the ability to reach your audience.  Most startups don’t fail because of the lack of a good idea, but rather lack of exposure and ability to reach the end user.  One of the positive benefits about crowdfunding, is that companies have the ability to receive investments from potentially hundreds of individuals and entities across the country.Your investors have a vested interest in the success of your idea and company.  Accordingly, you should not only look at these investors as just investors, but rather partners that can provide publicity and public acceptance of your product/service (within the rules and regulations of the law of course).  Utilize these individuals to generate additional interest.  Motivated investors looking for a payday down the road, have every incentive to promote your company…use this to your advantage.BizCFO is an accounting and finance consulting firm with offices in Santa Monica, Orange County, and San Diego, providing quality professional services. For additional complimentary information regarding this topic or other questions you may have please call one of BizCFO’s offices located in Southern California or contact us here.