What word can be placed after all 3 of these words: Venture, Angel and Crowd.
The dreams of every entrepreneur, who built the web we know today, needed a little and then quite a lot of money to get them started.
Today, there are still a lot of big dreams bubbling up on the web. I see them inflate and float up like great air balloons, they tempt the brave of us to latch on to the floating ropes dangling close to the ground. Wait too long and they will float away without you, never taking you on their journey to the stars above, grab on to the wrong one and maybe it will tear you away from the earth, spiraling away to a void.
Previously the average Joey’s chance of ever owning a slice of that dream was slim to none. Venture capitalist firms and angel investment take both skill, guts and what’s that other thing…oh yeah lots of money.
However, things may be about to change. The success of sites like Kickstarter and others has shown the willingness of crowds to fund products, causes and companies. And SEC rules for the Jumpstart Our Business Startups (JOBS) Act will also be released this year, which means crowdfunding with equity is on its way.
Whether this will democratize or disrupt the finance market, create the conditions where only fools rush in, or give us all the opportunity to become a new wave of investors, remains to be seen.