Crowd Funding Archives - SME Finance

Quickraiz Joins African Crowdfunding Association (ACfA)

Quickraiz, a crowdfunding platform in Nigeria, has enlisted as a member of the African Crowdfunding Association (ACfA). The ACfA is a self-regulatory organisation (SRO) that is committed to promoting transparency and good governance by setting the highest industry professional standards and ethics in the crowdfunding space across the African continent.

Quickraiz was launched in July 2018. It has redefined the fundraising ecosystem in Nigeria providing a digital solution that enables people with genuine cause to meet individual, groups or corporate organisations that can support their cause.

The Head, Sales and Marketing, Remi Jibodu, spoke on the membership with the ACfA. He said, “we are determined to lead the vanguard of crowdfunding in the West African sub-region to create the most secure, modern and tech-driven alternative to funding”.

He also spoke on the security of the payment system of the platform. “We are Payment Card Industry Data Security Standard (PCI DSS) compliant. What this means is that our platform maintains the highest level of secure environment which is a guarantee that any user on our platform can freely donate to campaigns without compromising his monetary instrument.

Quickraiz: A Crowdfunding Platform You Can Raise Business Funds On

business funds

Have you been bothered about how to raise business funds?  Worry no more.

Quickraiz is an online crowdfunding and fundraising platform. The platform allows both individuals and organizations to raise funds easily and securely for causes that matter.

Quickraiz is a web portal for your personal fundraising, group-gifting and crowdfunding needs.

Even more, Quickraiz has a reliable helpline service for all fundraising enquiries.

At Quickraiz, security is highly important. Hence, all personal data is protected and encrypted to provide a secure and reliable service. Therefore, your money is in good hands.

You can start a campaign via https://quickraiz.com

For more info about how to raise business funds, visit www.smefiance.org

Raise Funds For Your Business From These Six Nigerian Crowdfunding Platforms

Crowdfunding for your business

Crowdfunding is a strategy that focuses on raising smaller amounts of money from a larger collective of individuals.

While bank loans and pitching to traditional investors are still viable fundraising options, crowdfunding gives you the opportunity to solicit support from the crowd. This ‘crowd’ is a group of individuals who collectively invest in your idea to make it a reality.

Crowdfunding can also give entrepreneurs a way to validate demand for their ideas, before they enter production. By this, they let others “buy into it” with pre-orders, donations, and investments.

Many Nigerian business owners and aspiring entrepreneurs have chosen to crowdfund their business ideas through crowdfunding sites.

Below are six crowdfunding platforms in Nigeria you can use to raise funds for your business.

 

Kickstarter

Kickstarter is a good fundraising site for musicians, writers, artists and designers.

These creative project creators offer entertainments aids, and products that encourage people to give out funds.

If your creative project will receive funds successfully, Kickstarter takes five percent of the collected funds. Also there will be a three to five percent fee for the payment processors

Website: www.kickstarter.com

 

Indiegogo

This platform allows SMEs and start-ups to generate pre-sales and get a response from first adopters before manufacturing their products

Under this platform; rather than an equity crowdfunding investment, investors receive a gift for making donations.

Website: www.indiegogo.com

 

Microventures

The micro venture is an equity crowdfunding investment platform.

It is open to small businesses and start-ups.

Investors give money to businesses and in return, they receive ownership of a small portion of the businesses.

Website: www.microventures.com

 

CircleUp

CircleUp is a leading crowdfunding site in Nigeria that connects businesses in need of resources with organizations and individuals that have the resources.

It is one of the best fundraising sites for businesses that deal with producing consumer brands.

Website: www.circleup.com

 

Fund An Enterprise

Fund An Enterprise is exclusively built for fundraising activities in the form of endowments to support small to medium enterprises and start-ups in Nigeria and other countries.

Website: www.fundanenterprise.org

 

NaijaFund

NaijaFund is one of the free crowdfunding platforms in Nigeria that allows anyone to raise funds for whatever matters, including business.

Registration is free, but after donations are received, NaijaFund will deduct ten percent (10%) of the fund donated.

Website: www.naijafund.com

Crowdfunding: The New Money

Crowdfunding

In the buildup to Nigeria’s general elections in 2015, the campaign team of Muhammadu Buhari utilised crowdfunding to source for money to fund his campaign. In 2018, the likes of the presidential candidate of Allied Congress Party of Nigeria (ACPN), Oby Ezekwesili and a house of representatives candidate of Eti-Osa Federal Constituency under the Modern Democratic Party (MDP), Olubankole Wellington — popularly known as Banky W — all crowdfunded their campaigns.

Beyond politics, people are now allowed to raise funds for social causes or for medical bills via online platforms. Nigerian companies are increasingly adopting crowdfunding as an alternative funding means, mostly via initial coin offerings (ICOs).

In 2018, regardless of the regulatory bottlenecks, four Nigerian startups raised funds through two forms of crowdfunding: ICOs and debt financing. Three of these startups collectively raised millions of dollars according to the Nigerian Startup Funding Report 2018.

These two are separate forms of raising funds. ICO is an equivalent of an initial public offering, only that it happens in the cryptocurrency space. For debt financing, a company raises money for working capital or capital expenditures. They do it through the sales of debt instruments to investors — both individuals and institutions. And in return for the investments, investors get a promise that the principal and interest on the debt will be repaid at a certain time.

For example, one of the companies that raised funds through debt financing promised a 20% return on investment in 12 months. Of the four start-ups that raised funds through crowdfunding, only one raised locally while the others raised on foreign platforms.

In all, Nigerian start-ups raised a total of $178 million in 2018 with crowdfunding. Contributing a significant percentage of that despite having only three start-ups considered in the Nigerian Start-up Funding Report. Two of these start-ups made it to the top funding chart for the year. Coincidentally, these two are also financial service providers.

What is the total figure raised through ICOs and crowdfunded debt financing in 2018? Find out about this and many more in the Nigerian Startup Funding Report 2018.

Source: Techpoint

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