There is a common misconception that crowdfunding is only applicabe to B2C businesses. On recently seeing a question posed on Quora, asking if anyone had got some examples of B2B startups that had used crowdfunding, there were three that immediately came to mind.
A crowdfunded B2B business I have invested in is Pavegen. They generate sustainable electricity from people walking on their floor tiles which are installed in high-traffic places like shopping malls and sports stadia.
Their customers include transport system operators, and owners of shopping centres and sports and entertainment venues: Pavegen – Global leader in harvesting energy and data from footfall.
Another B2B company that has used equity crowdfunding in the UK is MacRebur. They reinforce asphalt with recycled plastic to create a more resilient road surface, and help reduce the amount of plastic waste.
They have also resurfaced some airport runways, and recently announced a pothole repair material that will be available in 20kg bags: macrebur.com. Their customers include airport owners, local councils and highway authorities.
To give a third example, I made an equity crowdfunding investment not long ago in an agritech business called Hectare. Traditional farmers’ markets in the UK are closing down at a rapid rate, meaning more and more farmers have to make long and arduous journeys to take livestock to market. And sometimes it means driving their fit and healthy animals through areas where there is a higher risk of disease.
Hectare provides online marketplaces for farmers to check current prices and sell animals at SellMyLivestock and crops at Grainindex. Their B2B customers are farmers and agricultural produce buyers: Hectare Agritech | Reinventing Farm Trading