In COVID-19-Times, Crowdfunding Could Serve as a Lifeline
Start-up CEOs will tell you that, even at the best of times, funds are difficult to raise. The slowdown (ok, crash landing) of economic activity the COVID-19 pandemic has caused, has all but dried up access to finance through conventional channels (e.g. venture capital).
Healthcare is one of the major success stories of our time, but it is also in crisis. Healthcare providers face rising demand, increasing delivery costs and workforce shortages, as well as the need to adapt to new ways of working that maximize the use of innovative technology to deliver better quality care.
Where Equity Crowdfunding Fits Into An Investment Portfolio
Venture capital is no longer the exclusive preserve of the wealthy, says bestselling author Nathan Rose. Startups are building the economy of the future. They are disrupting old markets and finding new ways to solve problems. Wealthy investors have always been able to invest in these types of exciting opportunities and enjoy the potential for outsized returns in the event the companies achieve their ambitions.
In its early days, the self-driving technology firm Cruise Automation went the crowdfunding route, raising a mere $200,000. In 2016, just two years after that first crowdfunding push, Cruise Automation was acquired by General Motors for a mind-blowing $1 billion in cash and stock, making the company the first billion-dollar exit for equity-based crowdfunding, a unicorn you can ride.
European Health Catapult Open for New Applications
Start-ups, watch out: doors have been opened to enter the European Health Catapult Competition Vintage 2020. Catapult is EIT Health’s individualized training program and competition that aims to boost the development and visibility of high-potential European health start-ups.
What Does “Prospectus-approved” Mean for an Investor?
On aescuvest.eu, investors become participants in the business chances of a start-up based on security investments. In order to issue and distribute shares Europe-wide, the start-up has to prepare a comprehensive offering document: the so-called prospectus has to be approved by a European financial authority before publishing, in this case by BaFin, Germany’s Federal Financial Supervisory Authority. What does this mean for the investors?