Crowdfunding in Ireland


 

 

Crowdfunding in Ireland

Crowdfunding in IrelandCrowdfunding in Ireland now has the support of iCrowdFund the flexible funding option.
iCrowdFund was launched in 2014 by the company who gave us iDonate the free fundraising service for non-profits in Ireland. iDonate supports over 650 charity related groups with its online donation services.
Crowdfunding has now become the modern way to fundraise for charities, or raise capital for a start-up business or enterprise.
Crowdfunding is all about a large group of people (a crowd) pledging financial support for a project. Crowdfunding in generally done online.
At the moment, there are no regulations in Ireland which deals with Crowdfunding. The Central Bank are monitoring the situation.

Variations of Crowdfunding

All Or Nothing Crowdfunding – With All or Nothing the owner originator must raise all of the target amount, or else nothing get processed. All or Nothing campaigns are for organisations where the total targeted amount is required to proceed. The purchase of equipment is a good example of this type of campaign.

Keep it All Crowdfunding – With Keep it All project situations the amounts pledged by contributors to the campaign are processed, regardless of wherther the target is reached or not. This is sometimes referred to as flexible funding. It is viewed as a safer option for fundraising as their fundraising efforts will not be totally in vain.

It is really a decision for the project owner to decide which option best fits their particular situation. The project owner must decide if part of the money will complete part of the planned project and also make a judgement call on whether a project that may not get 100% funding support is viable.

Equity Crowdfunding

Equity crowdfunding is used in many countries as a means for financing start-up businesses. The public have an opportunity to invest at an early stage. Equity crowdfunding is still unregulated in Ireland, but the Central Ban ar monitoring the situation.
At a recent InterTrade Ireland Seedcorn Event in Galway, the presenter highlighted five channels for raising equity investment :
• Savings, family and friends
• Crowdfunding
• Angels
• Venture Capitalists
• Angel /VC Consortiums
iCrowdFund also off a crowdfunding mentors service, where a group of specialists offer their services in support of various projects.
There are several very popular crowdfunding website in Europe and the United States.