Editor’s note: This article is based in part on the forthcoming book by Frederick D. Lipman titled “New Methods of Financing Your Business With U.S. Investors.”
Crowdfunding has created a revolution in the raising of funds for startup companies and for other projects, including both for-profit and not-for-profit projects. Crowdfunding is a process by which a company or project can raise capital with relatively small individual contributions from a large number of contributors using the Internet and other social media. Crowdfunding sites include, but are not limited to, Kickstarter, Indiegogo, GoFundMe and many others, and can be reward-based or donation-based.
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