View Full Version : Anyone Use Debt Based CrowdFunding?

09-03-2012, 09:43 AM
Basically there are 3 main types of CrowdFunding models.

1. Debt Based CrowdFunding - Basically you give projects a loan in exchange for monthly payments back to you plus whatever interest rate they offer
2. Reward Based CrowdFunding - Kickstarter and the likes. Projects can presell their products or services, or give away different types of rewards in exchange for funding.
3. Equity Based CrowdFunding - Still waiting on the laws to be enacted in the US. Users provide funding in exchange for equity in that project.

I've participated in both Equity and Reward based funding but haven't done so with Debt. Anyone know of the best debt based platforms out there? Also any feedback on how well it works from an investors point of view?

09-03-2012, 02:54 PM
There were a few debt based in USA. Most that I've seen weren't making ROI that justifies the risk. Otherwise I'm regular in Kiva but it's non-profit.