TECHCRUNCH: During April, the nation will observe Financial Literacy Month – meaning it’s time to revisit the diverging roads to funding early-stage startups. The rise of non-traditional routes for raising capital, such as Kickstarter, has catalyzed a much-needed renaissance in funding options for entrepreneurs. With the passing of the JOBS Act, entrepreneurs have a bevy of new opportunities for raising seed funding, beyond the ever-illusive Silicon Valley checkbook. There are going to be complications associated with making sense of what funding route is best for your company and product needs, but sometimes the answer will reside in a combination of options. (more…)
TECHCRUNCH: Pebble went back to crowdfunding site Kickstarter to help fund the Pebble Time, its second major hardware iteration. The company likely could’ve gone with a more traditional product launch, with a brief pre-order window or direct to market availability, but the campaign did break Kickstarter’s all-time records, netting over $20 million ($20,338,986 to be exact) from 78,741 backers, which is newsworthy over and above the actual product it’s selling. (more…)
TECHCRUNCH: Angel investor Gil Penchina had partnered with Indiegogo to launch a new syndicate on AngelList dedicated to investing in successful campaigns. It launched yesterday and had $75k in capital committed in the first five hours. Total carry of syndicate per deal is 20%, it is expected to make 5+ investments per year with a value starting from $1000
FAST COMPANY: Since 2009, the crowdfunding platform Kickstarter has nurtured great ideas. But once a project reaches its funding goal, it can get lost in the mix, and its Kickstarter page becomes a shell of its former self. Spotlight, launching today, is Kickstarter’s attempt to extend the life of a project beyond the funding stage. It gives the creators of successful projects a way to shape their story and image the way any company might market an important new product. (more…)
GLOBES: iAngels has developed a model for investment of small amounts in start-ups, based on experienced investors. Russian billionaire and Chelsea FC owner Roman Abramovich continues to invest in Israeli start-ups: through Millhouse Capital, his investment company, he has led a $2.25 million investment in iAngels, a company started by entrepreneurs Mor Assia and Shelly Hod-Moyal. They founded iAngels in early 2014, and developed a model for investment of small amounts in startups, based on experienced investors. The company raised several hundred thousand dollars in the past, with the new investment making a total of $2.6 million raised by the company to date.
FINOVATE: Online thematic investment brokerage Motif Investing has teamed up with Pacific Life to provide millennial investors with an opportunity to invest in the social causes they care most about. Four new motifs will be offered, each including stocks from major U.S. companies that have made significant contributions to charities and foundations focused on issues ranging from education and human rights to fighting poverty and cancer. (more…)
TECHCRUNCH: The Pebble Time Kickstarter gained some momentum thanks to Apple’s special Watch event Monday. The new smartwatch from the smartwatch pioneer was drawing in funding at a rate of around $6,000 per hour on Sunday, March 8, which rose to $10,000 per hour on Monday, March 9 (when the event took place), and capped out at $16,000 per day on average during March 10, the day following Apple’s press presentation.
Pebble CEO and founder Eric Migicovsky told former Y Combinator lead and investor Paul Graham that interest in Apple’s media event had a doubling impact on the rate of its ongoing crowdfunding campaign, but in fact the numbers reveal it more than doubled, and in fact almost tripled in the extended wake of the announcement. (more…)
VENTUREBEAT: Less than a week after Kickstarter saw the new Pebble smartwatch smash its previous funding record to smithereens, fellow crowdfunding platform Indiegogo has an all-new record to boast about too. With $5.3 million in the coffers so far and 27 days still remaining, the Flow Hive campaign has now passed the previous record-holder — Hour of Code— which had received some big-name donations from the likes of Bill Gates and Mark Zuckerberg to help increase uptake of computer science in schools.
FAST COMPANY: Kickstarter may have kickstarted the crowdfunding movement, but it did so with arbitrary and capricious rules that embraced some projects while refusing to host others, and limited its own growth. But the company underwent a leadership change in late 2013, and last year reengineered itself as an integral part of the startup hardware boom. It saw two companies that started on its platform, Oculus and SmartThings, get acquired by Facebook and Samsung, for $2 billion and $200 million respectively. And it neared in on $1.5 billion in money pledged to projects.