- July 13, 2021
- Posted by: Stratford Team
- Category: Business
A pandemic-fueled boom in crowdfunding has small businesses flocking to capital-raising platforms that experts say could help many companies get back to normal — as long as small-business owners are able to launch effective campaigns.
Regulation crowdfunding, in which companies raise capital from investors via government-monitored online platforms, has mushroomed in the last two years, going from approximately $100 million in 2019 to over $200 million in 2020, according to Chris Lustrino, founder and CEO of crowdfunding analytics and ratings firm KingsCrowd. It’s already exceeded the $200 million mark year to date in 2021, he adds.
“COVID has been a massive boon to this market,” Lustrino says.
Read: Small businesses still need support—5 ways you can help them recover
When the pandemic disrupted traditional financing options, more small-business owners began looking for alternative funding sources; that made them more open to the ideas…
