The document discusses new financing models for startups and entrepreneurs, specifically crowdfunding. It notes that while there is abundant entrepreneurial talent, finding startup capital from traditional sources like venture capital can be difficult. Crowdfunding is presented as an alternative that allows entrepreneurs to appeal to many small individual investors for funding. The document then focuses on Crowdcube, a crowdfunding platform in the UK that connects entrepreneurs with smaller investors and has successfully funded over £9 million for businesses through deals with over 36,000 members.

1. Darren Westlake

2. • World economy is in turmoil
• It has never been easier or cheaper to start a
business
• Internet, social media, SaaS, crowdsourcing
• We have great entrepreneurs with amazing ideas
• BUT, It has never been more difficult for
entrepreneurs to find startup and early stage capital
The Problem
Wealth of entrepreneurial talent but no money

3. • Venture capital difficult to find for smaller
requirements
• Debt finance hard to come by
• Business angels – limited investments
• Typically a syndicate each investing $10k - $100k
• What if there was a way to have say 5000 angels
each investing $10?
• What if anyone could become a business angel?
The Status Quo
The Status Quo

4. • As entrepreneurs we can’t rely on institutions to help
us fund our businesses
• Disrupt and disintermediate – find new models
• It makes sense to rely on each other – People Power
• The power of the crowd
New finance models
New finance models

5. Crowdfunding
Crowdfunding
• Crowdfunding is an approach to raising the capital required for a new
project or enterprise by appealing to large numbers of ordinary people for
small donations
• Social Media

6. Crowdcube and Crowdfunding
• Crowdcube provides a web-based central hub for entrepreneurs to meet
micro-investors. It uses the power of Crowdfunding to provide a unique
service to two types of people:
• for entrepreneurs to source funding more accessibly than
conventional routes
• for smaller investors to have the opportunity to invest in exciting high-
potential businesses
What is Crowdcube?
“$100 invested in Microsoft at their IPO would now be
worth approximately $35k.”

7. How it works

8. How it works

9. How it works

10. Benefits
Benefits

11. Success so far…
£9 millionfunded so far…
£250,000
largest single investment
>36,000
members
Deals successfully funded
>50
£1.5 million
biggest deal
Business model
£2,547
av. investment FCA Authorised

12. www.crowdcube.com
Thanks