It’s been a pleasure to spend time in 2022 working with the CrowdInvest equity crowdfunding platform. Headquartered in London, it’s a cross-border startup investment platform with a mission to connect investors from developed markets with startups from growth markets. A key objective is to accelerate the growth of businesses concerned with environmental or social impact outcomes. They will also operate an equity crowdfunding secondary market for shares bought through the platform.
Their initial spotlight will be on the UK-India corridor and then expand to include emerging economies in southeast Asia, Africa and the Middle East. CrowdInvest will pay particular attention to nurturing founders from less privileged backgrounds to generate inclusive, sustainable economic growth. Their transparent application process and due diligence procedures have no gender bias.
I recently wrote an article for them about the growth of secondary markets for shares bought through equity crowdfunding. Buying equity in a privately-owned business through crowdfunding is always risky, and in the early days it was also an illiquid investment. No matter how circumstances changed for any individual investor, their money was going to remain off-limits until the business they invested in exited by completing either a trade sale or an IPO.
The growth of equity crowdfunding secondary markets in privately-owned businesses has subsequently developed in the past few years for two main reasons:
- Improved liquidity makes investing in startups through equity crowdfunding platforms more appealing.
- To make secondary buying and selling a larger income stream for the crowdfunding platforms.
The growth of the secondary market has also attracted other non-crowdfunding fintech platforms. To read the full article please head over to https://bit.ly/GrowthOfSecondaryMarkets.
You can join the CrowdInvest waitlist today at https://www.crowdinvest.com/ to stay up to date with developments on how to be involved, either investing in startups from emerging economies or in the platform itself.