If you have an entrepreneurial project and you are looking for financing to carry it out, crowdfunding is a solution to consider. The problem, if we can speak of a problem, is that there are dozens today if not hundreds of crowdfunding platforms in London alone. And to add to the complexity, the financing methods offered are varied: equity participation, donations with counterparties, loans (this is called crowdlending). In short, not easy to find your way in this crowdfunding jungle.

We have designed this comparison of crowdfunding platforms to help you see more clearly and find the platform that best suits your needs. We have selected 10 platforms, some of which are specifically intended for the financing of VSEs and SMEs as we will see. Discover our Top 3 right away.

Comparison of the 3 favorite crowdfunding platforms of Websites Are Us

ulule logo kickstarter logo

Last name

Ulule Wiseed Kickstarter

General presentation

International crowdfunding company based in Paris, with offices in Barcelona, ​​Rome, Antwerp and Montreal. Ulule is a crowdfunding platform connecting entrepreneurs / creators with donors. WiSEED is intended to finance innovative entrepreneurial projects (startups, real estate projects, cooperatives, etc.). Kickstarter is an online platform and a reference tool for project creators. The kickstarter mission is to contribute to the realization of creative projects.

Creation date

2010

2008

2009

Number of projects funded

10070

521

179,994

Types of projects funded

Musical or photographic projects, publishing, solidarity and civic initiatives, technology, heritage, etc …

Multitude of investment support: startup, real estate, renewable energy, social innovation, agroforestry, etc.

Creative projects like art, comics, dance, cinema, video, etc.

Financing methods

Donation funding

Capital financing and / or loans Donation funding

Size of projects funded

Up to € 500,000 Up to € 5,000,000 Up to € 500,000
Number of supporters 2.9 million 137,100 18 million

Model

The “all or nothing” principle: funds from a project are recovered if the project reaches (or exceeds) its fundraising objective. With Wiseed, you can finance your project with capital and / or debt in order to seize growth opportunities and / or create leverage with other financing players. Each project is independently created and designed by the person behind it. The filmmakers, musicians, artists and designers you see on Kickstarter have complete control and responsibility over their projects. They spend weeks creating their project pages, shooting their videos, and thinking about the rewards for contributors. When they are ready, the creators launch their project and share it with their community.
Commission charged by the platform 8% decreasing Between 4% and 10% Between 3% and 5%
Website

The 3 families of crowdfunding platforms

Just as there are many types of fundraising for businesses at all stages of growth, there are a variety of types of crowdfunding. The crowdfunding method chosen by an entrepreneur depends on the type of product or service he offers and his growth objectives.

The three main forms of crowdfunding are grant, loan, and equity financing.

Funding through donations

This is any crowdfunding campaign in which there is no financial return for investors or contributors. Funders generally invest in charitable, social or solidarity work. Opposite, the project leader receives the donations, treats them as turnover and must declare this income according to the terms and conditions fixed by its status (natural person, company, self-entrepreneur, etc.). In this example, we can cite platforms like Ulule and Kickstarter.

Loan financing

Also called “crowdlending”, this model allows project creators to obtain private financing from a loan. Crowdfunding by loan is aimed at both individuals to finance health or education expenses for example, as well as businesses (VSEs, SMEs) with a solid balance sheet. In this family, we find WeShareBonds or Lendopolis.

Capital financing

This last model is the only one that allows investors to participate directly in the capital of projects. This allows contributors to become co-owners of a business by exchanging capital for shares. The entry ticket is relatively low compared to the standards practiced in the private equity sector. Here, the most famous platforms are Wiseed and Happy Capital.

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Our selection of the 10 best crowdfunding platforms in 2020

Ulule

Type of funding: Grant funding

Founded in 2010 and based in Paris (with additional offices in Rome, Barcelona, ​​Brussels and Montreal), Ulule differentiates itself from the crowdfunding crowd by emphasizing personalized coaching. Ulule provides this support before, during and after your crowdfunding campaign. This contributes to what Ulule claims to be the highest rate of successfully funded campaigns in the crowdfunding industry, which currently stands at 65%.

Advantages and disadvantages

Most ” :

  • Good business support for entrepreneurs
  • Ulule campaigns have a high success rate

The lessers ” :

  • Campaigns require prior approval
  • Too complicated fees
  • Unable to raise funds if you do not reach your fundraising goal

Prices

6.67% of all funds received by credit card, 4.17% of funds received by check or PayPal

Kickstarter

Type of funding: Grant funding

Kickstarter is designed to finance creative projects. But don’t worry if you don’t mention “artist” or “musician” on your tax forms. Remember that guy who accidentally raised over $ 50,000 to make a potato salad? It was on Kickstarter.
It’s an all-or-nothing platform, which means that if you don’t reach your fundraising goal, you won’t get the money you raised. Your donors will not have to pay for your project, which could make the donation more attractive.

Advantages and disadvantages

Most ” :

  • Name recognition means you will have more visibility.
  • You benefit from a reduction in fees for small donations.

The lessers ” :

  • The project must meet Kickstarter categories and requirements.
  • The platform limits the types of projects you can fund.
  • Projects are limited to 30 and 60 days.

Prices

5% platform fees
3% plus $ 0.20 payment fee for ads over $ 10
5% plus $ 0.05 for pledges of less than $ 10

Wiseed

Type of financing: Capital financing

Wiseed creates innovative investment opportunities by leveraging the collective intelligence of a 70,000-strong investor community. Launched as the world’s first crowdfunding platform in 2008, Wiseed literally allows everyone to invest in sectors such as biotechnology, clean technology, digital, industry or real estate – assets that are not accessible for a long time only to an elite group. Since its inception, the Wiseed community has invested more than € 55 million in the real economy by supporting more than 120 projects to date. Wiseed, available in London and English, is approved and regulated as a PSI (Investment Service Provider) by the London Authority for Prudential Control and Resolution (ACPR).

Advantages and disadvantages

Most ” :

  • One of the most complete participative investment platforms (Real Estate, ENR, CrowdFunding Equity, ..)
  • High rates (around 10%) over short durations (12 to 24 months)
  • Possibility to invest from € 100 while other real estate platforms generally impose € 1000

The lessers ” :

  • Too quickly closed projects requiring to be present at a fixed time and to join a queue (the price of success?)
  • Loan path too long (although improved recently) and very difficult to achieve from your mobile

Prices

Wiseed charges 0.9% of the amounts invested and between 4% and 10% of the funds raised

Indiegogo

Type of financing: Capital financing

Indiegogo is the largest crowdfunding company dedicated to entrepreneurs. It has raised more than $ 1 billion for design, technology and innovation projects since it started operations in 2008. It also provides assistance at every stage of the process, from concept to marketing.
This platform allows two types of crowdfunding: actions, which allow startups to find investors, as well as rewards.

Advantages and disadvantages

Most ” :

  • Focused on creative services, marketing and communications, prototyping, production, retail, licensing and distribution.
  • Reduced fees for charitable campaigns.

The lessers ” :

  • Campaigns are limited to 60 days.
  • You must provide rewards even if you do not receive full funding.

Prices

5% platform fees
3% plus $ 0.30 processing fee per donation
$ 25 transfer fee for non-bank payments

Crowdfunder

Type of financing: Capital financing

Crowdfunder is a crowdfunding platform that focuses on connecting entrepreneurs and investors. With more than 12,000 angel investors and venture capitalists in his network, he has funded more than 100 unique projects for an average transaction size of $ 1.8 million. He contributes to startups at all stages and has fundraising coaches to share knowledge of the industry and help you optimize your sales pitch.

Advantages and disadvantages

Most ” :

  • May benefit from fundraising at all stages.
  • Easy for investors to browse niche businesses.

The lessers ” :

  • High monthly fees could deter new businesses.
  • No access to small investors.

Prices

$ 449 to $ 499 monthly membership fee

Crowd Supply

Type of funding: Grant funding

Crowd Supply was launched in 2012 with product designers in mind. While it shares some of the elements of Kickstarter, this Portland-based platform is essentially a pre-order store. Instead of donating to a campaign for a reward, supporters pre-order a product that needs funding to support its production.

Advantages and disadvantages

Most ” :

  • Expert advice with review and campaign management.
  • Once your campaign is over, you can sell your product on the platform.

The lessers ” :

  • Potential for high costs.
  • Small support community.

Prices

Platform fees from 5% to 15% of your goal
2.9% plus $ 0.30 fee per donation

GoFundMe

Type of funding: Grant funding

GoFundMe is an internationally recognized platform to help people around the world invest their money in charities and the causes that matter to them.

Advantages and disadvantages

Most ” :

  • Focus on charitable causes
  • Keep What You Harvest Funding Model

The lessers ” :

  • Few options for traditional startups
  • Low success rate for full campaign funding

Prices

0% for personal campaigns in the United States; 5% for charities and countries outside the United States

OnParticipate

Type of funding: Grant funding

OnParticipe is a 100% London online kitty that puts its technology at the service of companies for their donation collections. It’s completely free for fundraisers regardless of the amount raised.

Advantages

Most ” :

  • The kitty can be cashed from the first euros whether the goal is reached or not.
  • The OnParticipe team, entirely based in London, answers all your questions in less than 24 hours and advises you on your crowdfunding campaigns.

Prices

Free

Peerbackers

Type of funding: Reward funding

Peerbackers helps users raise funds for campaigns through donations in return for rewards. All the money you collect is yours as long as you reach at least 80% of your goal.

Advantages and disadvantages

Most ” :

  • Friendly site and more customizable than other platforms.
  • Customer service is fast and reliable.

The lessers ” :

  • Doesn’t rank high in search engine results.

Prices

5% platform fees
2.9% processing fee

Fundable

Type of funding: Grant funding

Designed to help small businesses reach various fundraising goals, Fundable offers donors rewards or equity for each donation. The rewards help campaigns reach a wider audience of funders, but you will usually raise less than you could get with a equity fundraiser.

Advantages and disadvantages

Most ” :

  • Support donors of all sizes.
  • Donations of shares come at no cost.

The lessers ” :

  • Does not support non-profit organizations and a handful of industries.

Prices

$ 179 monthly user fee
3.5% plus $ 0.30 per credit card transaction for donation-based campaigns

Conclusion

With the emergence of more and more crowdfunding platforms, there can be a lot to go through to find the one that is right for your business. The 10 platforms listed here should give you a good overview of your main options. Make sure you factor in the fees charged before launching a campaign, to avoid surprises once the money starts to arrive.

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Comparison

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