We sat down recently with Mike Norman, co-founder of Boston-based WeFunder.
Wefunder’s platform seeks to offer an alternative to the traditional funding rounds a startup normally has to go through by marrying it with the popular crowdfunding techniques found on websites like Kickstarter and IndieGoGo. Wefunder splits from the aforementioned platforms in two key ways: It actually does allow businesses to use the platform, and potential funders are also offered a stake of equity in the company.
It’s innovative — and was nearly legal at the time of filming. Wefunder became active upon the subsequent passage of the recently congress-approved Jumpstart Our Business Startups (JOBS) Act, which centered on a provision that allows small and medium-sized companies acquire traditional business funding through crowdfunding methods. It could be huge win for Wefunder and the startups interested in using the platform.
Do you believe this is the startup pathway of the future? Let us know in the comments.
Note: This video was produced before the passage of the JOBS Act on March 27.