Crowdfunding

Crowdfunding

The term comes from the English crowdfunding, which translates into Spanish as mass financing. Crowdfunding is also known by the following names: crowdfunding, mass financing, mass or subscription financing, popular costing.

Crowdfunding was born as a collaborative project financing mechanism developed on the basis of new technologies. It dispenses with the traditional financial intermediation and consists of putting project promoters who demand funds in contact by issuing securities and social shares or by requesting loans, with investors or fund bidders who seek a return on investment. Two characteristics stand out in this activity: the massive union of investors who finance small high-potential projects with small amounts and the risky nature of said investment.

Crowdfunding is the practice of funding a project or venture by raising small amounts of money from a large number of people, typically via the Internet. Crowdfunding is a form of crowdsourcing and alternative finance. In 2015, over US$34 billion was raised worldwide by crowdfunding.

We at ML Financial Group LLC promote Crowfunding as a viable and powerful alternative that allows the development of safe investments with high profitability. We invite you to participate in one of our Short Term or Long Term investment plans and start investing quickly and reliably in the United States.

Benefits for the investor

There are several ways in which a well-regulated crowdfunding platform may provide the possibility of attractive returns for investors:

  • Crowdfunding reduces costs – The platforms reduce search costs and transaction costs, which allows higher participation in the market. Many individual investors would otherwise have a hard time investing in early-stage companies because of the difficulty of identifying a company directly and the high costs of joining an Angel Group or doing it through a professional venture capital firm.
  • Current early-stage investing is not efficient – Venture capital firms often neglect the consumer sector and focus mainly on high-tech companies. Crowdfunding opens up some of these neglected markets to individual investors. Crowdfunding doesn’t make sense in every industry, but for some, like retail and consumer, it does.
  • Value of new investors – Investors can add value to companies when they act as brand advocates and they can even be used as a focus group. Crowdfunding allows individual investors to be a part of the company they invest in.