Whilst not a new phenomenon, (the funding for the plinth of the Statue of Liberty being an early example), the age of the internet has certainly put the crowd into crowdfunding.
Peer to peer lending in the modern age relies on the internet to draw the crowd together and present them with the business to be funded. The internet has made connecting the crowd and the business so much easier, with information available at the click of a mouse the lenders can establish the kind of company, who is behind it and even how they are performing before they lend.
Your Acorn.finance broker will help guide you to a suitable lender for your business.
Lenders act more like the bank, assessing the risk of a business loan proposition and deciding for themselves how much to lend to a business and what interest rate is warranted.
The loan interest rate is then an aggregate of all their smaller (crowd) loans.
Some lenders now assess the risk of the proposition and offer a standard interest rate for the public to buy into, giving a guaranteed rate of return.
Get the crowd behind your project. If they believe in you and your business idea then together we'll get the funding through a range of rewards.
Rewards for peer to peer finance can be as simple as a supporter's T-shirt or early access to your product when launched.
What about a special "backers' reception" or champagne launch?
With no cost of finance, as per a crowdfunded loan, a rewards based crowdfunding campaign could be perfect for a new start business or a product launch.
We call it F.U.N.D.E.D. It’s a 6 step process, which is unique to Acorn.finance.
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