Why should I consider using crowdfunding as opposed to using other sources if I wish to raise funding for my business, invest in promising companies, lend or borrow money, donate to charities or seek donations for worthy causes?
Crowdfunding networks like Winnamore Street provide you a single venue or resource where you can make (or post) your offers to large numbers of interested persons regardless of whether you wish to lend or borrow money, invest in promising companies, raise funding for your business, donate or seek donations for worthy causes or even seek or provide professional crowdfunding services. Without crowdfunding you will have to use several resources - each specializing in just one or two of the various things you may want to do.
For example, as a lender, wanting to earn interest on your money, you’ll probably have to go to a bank or a similar corporation and place your funds with them (i.e. lend to them) at a rate of interest they have indicated for the specified duration. Apart from the fact that interest rates have been low for quite some time, there is a growing global trend by banks to discourage deposit accounts as such accounts appear in their balance sheets as “liabilities” which in turn requires them to have more shareholders capital because your deposit is an obligation for the bank to repay you with interest.
Instead, more and more banks all over the world are trying to stop taking deposits and are instead offering customers the “Swiss” style of banking. This means you pay to leave your money with the bank. If you wish to earn something on the money, the Bank will offer to manage it for you by making investments they consider suitable for you. Banks earn a commission on these investments sold to you. Returns on these investments are not guaranteed but you will pay a management fee on the investments whether you have returns or not. The very fact that a bank is compensated through commissions from investment products sold to you lends itself to the possibility of banks promoting investments that offer them the higher commissions.
This is one of the many reasons Crowdfunding is growing rapidly. Crowdfunding lets YOU decide how you want to deal with the money you have or the money you want. The U.S. JOBS Act. is expected to clear up some current legal ambiguities regarding what can and cannot be legally achieved through crowdfunding for business start-ups in the USA. The rest of the world will no doubt follow the US model. With Crowdfunding, ordinary people, from all over the world, are able to offer or raise funds from other ordinary people around the globe – the Crowd.
Most Crowdfunding sites don’t require payment for membership. Why does Winnamore Street require it?
General access to the Winnamore Street website is free and requires no registration. Basic Membership, which does require registration, is also FREE. In addition to general benefits like getting financial news and information from our newsletters, Basic Members also get special benefits like invitations to attend crowdfunding events.
Only Premier Membership requires a modest annual membership fee for the benefit of making unlimited posts which other Premier Members can see and search for. Unlike most other crowdfunding websites, Winnamore Street does not charge Platform Fees which can run into thousands of dollars depending on the size and number of transactions you initiate through those sites.
What type of Winnamore Street membership should I consider?
If you do not currently have funds to lend, funds to invest, or any ventures (your own or those of your relatives or clients) that need to be funded but are interested in staying informed about the growing importance of Crowdfunding, the Winnamore Street FREE Basic Membership is adequate.
However, you should consider the paid Premier Membership if you want to access offers from lenders, borrowers, investors, businesses seeking investors, donators to charity, worthy causes seeking donations or providers of professional crowdfunding services, or if you wish to post your (or your clients’) offers to lend or raise money, or if you would like to enter your start-up business in the Winnamore Street “Enterprise Most likely to Succeed” Contest for a chance to win up to US$1,000,000 in direct equity investment in your venture.
What’s the difference between Winnamore Street and other crowdfunding networks?
The single most important difference is that as a Premier Member of Winnamore Street, you have total freedom as to how and who you want to deal with - without having to pay any intermediary platform fees.
You have total freedom to put up as many offers (posts) to lend or borrow money, invest in promising companies, raise funding for your business, donate to charities, seek donations for worthy causes and provide or seek professional crowdfunding services. You do not have to use several crowdfunding networks with each specializing in just one or two of the various things you may want to do. Likewise you have total freedom to respond to enquiries to your posts and to negotiate the best terms for any deal. You will not be forced to accept just one set of terms.
For example, you may want to seek equity investment for the launch of a unique web-based business. Through Winnamore Street you could tailor your acceptance of an investment from different investors based on amount, status of the investor etc. You could negotiate terms on a one-on-one basis. This is generally not possible if you and your investors are separated by an intermediary who is dependent on the fees to be earned through your deal. Remember that when an intermediary’s revenue is based on platform or transaction fees…your best interests may not be the most important consideration. Instead, it could be all about getting the deal done …even if it means you get railroaded into acceptance. At Winnamore Street, YOU negotiate the deal best suited for you.
When Winnamore Street Members respond to my post or I contact them regarding their post, how will I know if they are sincere and not a hoax?
Although the internet does have some fraudsters, generally most netizens value their reputation and are sincere. Crowdfunding platforms in particular attract people who want to do deals not just socialize. When someone pays an annual fee to become a member (like the Winnamore Street Premier Membership) it’s a good sign that the person is serious about doing business through the crowd.
However, you should read through our Terms and Conditions and Guidelines for Posting on Winnamore Street which covers what you should be aware of when using our website and when dealing with other members’ responses to your post, or when you respond to other members’ posts.
If I do not want to deal directly with other members for making transactions, is there an alternate way for me to still use Winnamore Street?
Yes, of course. We realize that not everyone has the time or desire to independently control their transactions through crowdfunding.
For such persons, provided they are Winnamore Street Premier Members, we will be offering an opportunity for them to participate in Winnamore Street-sponsored Syndicates. These Syndicates will be managed by independent third party specialists.
More information on these Syndicates will be made available as they are created and open for participation.
