For Business Owners
OurCrowd is an Israeli equity crowdfunding site
This independent review has been written especially for startups & growing companies which are considering using OurCrowd to raise money with equity crowdfunding.
- What Is Equity Crowdfunding?
- Best Equity Crowdfunding Sites From Around The World
- How To Crowdfund A Business Through Equity Crowdfunding – Step-By-Step
In this OurCrowd review, you will learn about:
- OurCrowd Attitude To Curation
- Which Companies Can Use OurCrowd
- How OurCrowd Helps Business Owners
- What Is Unique / Different About OurCrowd
- How To Raise Money With OurCrowd
Platform Website: www.ourcrowd.com
OurCrowd Attitude To Curation:
On their website, OurCrowd calls itself:
“A Venture Capital Firm Built Into A Startup Investing Platform”.
Therefore, it is unsurprising that OurCrowd takes a venture-capital-like approach to their company selection criteria. They only want to work with “great companies”, and unearth these through doing the same kind of work as venture capitalists. They demand reporting, board seats, actively participate in company management and take a strong interest in future fundraising rounds.
OurCrowd believe that part of their value proposition for investors is that their team completes rigorous due diligence on every single company that gets listed on their platform. The due diligence includes examination in areas like legal, finance, competitive landscape, industry trends / forecasts, human resources, and consultations from industry experts (as required). Every company that gets listed on OurCrowd must pass a vote from their Investment Committee.
It all adds up to OurCrowd having a thorough vetting process. Overall, only around 2% of companies which approach OurCrowd ultimately pass this vetting process and get their campaign listed.
Learn How To Succeed With Equity Crowdfunding
Equity crowdfunding offers amazing potential for startups and growing companies, but it is also a very steep learning curve. Many companies begin with no idea of which platform to use, how long it is going to take, or what they should be doing to ensure their offer will be a success.
In this step-by-step guide, you will hear from the world’s leading platforms and from successful past crowdfunders from around the globe, with all their tips and tricks.
Collectively, they have raised millions of dollars, euros and pounds!
Learn how they did it, and how you can do the same.
Which Companies Can Use OurCrowd:
OurCrowd claims to be “sector agnostic”. However, their selection criteria explicitly favors companies which are addressing large, rapidly-growing markets. They are less-interested in small, niche markets. The solution the company is offering needs to be an already-felt pain point – there should not be much need to educate buyers on why what is being sold is useful.
Additionally, OurCrowd is on the lookout for companies with a simple, easily-understood value proposition. The business model should be possible to explain to a reasonably intelligent amateur investor, for it to be maximally suitable for equity crowdfunding.
OurCrowd do not invest in pre-prototype ideas in need of capital to begin building them. There needs to be proven traction – even for early-stage companies. They want to see that an early version of the product or service has already gotten significant traction. Traction can come in many forms – including partners, customers, and cashflows.
To date, OurCrowd has funded companies in Israel, the United States of America, India, Canada, the United Kingdom, Hong Kong, Singapore, and Australia.
Meanwhile, their investor database spans over 180 countries around the world.
Raise Size Restrictions:
Historically, the vast majority of companies raising money on OurCrowd have been seeking between US$1 million (at the low end) and US$15 million (at the high end).
Take The Quiz – Are You Ready For Equity Crowdfunding?
Equity crowdfunding can raise 6 – 7 figures of investment for startups & growing companies, without banks or VC.
But is your company ready to launch?
This short multi-choice assessment has been created to give an indication of whether your company is fit for funding.
All answers are kept completely confidential.
How OurCrowd Helps Business Owners:
It can be challenging for small companies to obtain equity financing. Often, business owners will be doing it for the very first time – therefore, they need guidance on how to crowdfund. OurCrowd helps with the marketing effort needed to ensure a successful round on their platform. They work with the management on a event schedule for meeting investors. They gather material for targeted distribution among investors, prepare investor events and conduct ‘meet the CEO’ webinars, and other virtual events.
What Is Unique / Different About OurCrowd?
Most equity crowdfunding sites are pure marketplaces – being a place for investors and companies to meet one another and transact. However, OurCrowd also invest their own capital into every deal that makes it onto their platform. This means OurCrowd are taking principal risk, and individual investors are investing alongside them.
Another point of difference is their global network of strategic partnerships. This includes multinational corporates, other venture capital firms, institutional investors, distribution partners, and investment banks. This means they are able to provide insight and early access into sectors which are otherwise difficult to attain. They have 13 offices around the world with representation on most continents, so have a wide source of deal flow globally.
Finally, on top of offering investments in individual companies, OurCrowd also offer venture funds investing – meaning that individuals can get diversified exposure to multiple startups through a single investment vehicle.
How To Raise Money With OurCrowd:
- Have a very clear story. Many equity crowdfunding investors are not professional venture capitalists. This means they do not always have a technical background, and therefore will not necessarily understand highly-technical explanations. The investment thesis needs to be made understandable. If your product / business model is inherently complex, consult with professionals to create a more-relatable message to present. It is much easier to connect with investors when your pitch is high quality and easy to consume.
- Be available. OurCrowd can facilitate events, webinars and group calls – all of which can effective ways for companies to reach a large number of investors. OurCrowd want to work with entrepreneurs who are prepared to commit to the marketing process that comes along with equity crowdfunding.
- Learn from the best equity crowdfunding case studies so that you can replicate their success. Other companies have done equity crowdfunding before – you don’t need to learn from scratch. Absorb as much information as possible so that you are prepared to raise money online!
You’ll learn how to choose the right platform, build a crowd, and raise game-changing money.
Join The Free Equity Crowdfunding Training
Get The Roadmap To Raising 6 - 7 Figures, Without Banks Or VC
✓ Where To Go To Find Equity Crowdfunding Platforms
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✓ How To Avoid The Biggest Mistakes That Founders Make