CrowdMission launches – Its Time has Come: Equity Crowdfunding for Social Ventures
CrowdMission launches quest to crowdfund social businesses
• Serial entrepreneur Karen Darby launches crowdfunding site to fund thousands of social, environmental and health-related businesses
• Darby warns that crowdfunding risks being stifled through over-regulation by the FCA
Social entrepreneur Karen Darby has launched a new crowdfunding website to challenge banks and venture capitalists and put investment opportunities in the hands of ordinary people. Darby, who made her fortune helping thousands reduce their energy bills through SimplySwitch, has created the world’s first equity crowdfunding platform for social and environmental businesses.
“CrowdMission is all about making money and making a difference. We connect investors to ambitious, high-growth businesses with a social dimension. These businesses could one day be real game-changers and have a truly beneficial effect on the planet”, said Karen Darby.
CrowdMission allows ordinary people to invest from as little as GBP10 in return for shares in businesses that benefit society. It has set itself a target to help, nurture and support 10,000 social entrepreneurs in the next five years.
However, Darby warns that the Financial Conduct Authority (FCA), which is drawing up plans to regulate the crowdfunding industry in April next year, may try to impose rules on who can invest through crowdfunding sites. The FCA has previously seemed keen to restrict crowdfunding sites to deal exclusively with high net worth individuals and those with professional investment experience.
“This fledgling industry needs to stand firm and not accept every rule proposed by the regulator. While crowdfunding is quickly being embraced by both investors and businesses, the ‘nanny state’ stance being taken by the FCA may well smother the crowdfunding model in its infancy. This is something that can’t be allowed to happen.
“We believe there’s not only a new breed of social entrepreneur emerging, but there’s a new breed of investor – ordinary people who want to back good businesses.” says Darby.
At launch, CrowdMission is helping to fund a number of businesses. One of the first is Power Predictor, which has created tools to analyse the potential for solar and wind energy production. Power Predictor helps governments, businesses and homeowners identify the true potential for renewable energy generation based on actual weather conditions at any specific site. Power Predictor, which has already sold more than 15,000 units world-wide, is looking to raise GBP250,000 on CrowdMission – (http://www.crowdmission.com/power-predictor)
Other businesses on CrowdMission at launch, include:
• Big Blue Cuddle, an online store for colourful children’s clothes which supports children’s charities while introducing new brands to the UK market – http://www.crowdmission.com/big-blue-cuddle
• iPower, which makes energy more affordable by installing fuel cells, which convert gas into electricity as efficiently as an industrial power station – http://www.crowdmission.com/ipower-energy
What makes CrowdMission unique is that every business that seeks funding through its platform must provide an obvious benefit to society, health or the environment. This social impact must be above-and-beyond the commonplace social benefits of running a business, such as the creation of jobs or stimulation of the local economy. CrowdMission is particularly keen to work with social entrepreneurs, green energy businesses and bioscience companies.
Karen Darby concludes, “The businesses that feature on our platform are not only great investment opportunities, they provide tangible benefits to society. Ultimately, we would love to help bring to market a cure for cancer or some new technology that radically reduces pollution. Innovators in bioscience and green technology don’t necessarily see themselves as social entrepreneurs, but to us they’re heroes. It’s their companies that have enormous potential to change lives as well as making a healthy profit for investors.”
Karen Darby is available for interview for print, online or broadcast purposes. Contact details below.
Brazil (PR agency for CrowdMission) – firstname.lastname@example.org
CrowdMission is the world’s first equity-based crowdfunding platform for social and environmental businesses. It challenges conventional sources of business finance, such as banks, angel investors and venture capitalists, by helping entrepreneurs secure investment from the public.
Through CrowdMission, people can invest from as little as GBP10 in exciting new businesses that benefit society. In return for their money, investors receive equity (shares) in the social business of their choice.
How is CrowdMission different?
CrowdMission only works with businesses that operate for profit and have a social mission at their core. This social or environmental impact must be above-and-beyond the commonplace social benefits of running a business, such as the creation of jobs or stimulation of the local economy.
CrowdMission believes that crowdfunding for equity should be open to everyone and is committed to keeping the ‘crowd’ in ‘crowdfunding’. Therefore anyone in the UK aged 18 or over can become an investor, and unlike other equity crowdfunding platforms, CrowdMission doesn’t require investors to have a university degree, a senior managerial job or prior investment experience.
CrowdMission & the UK Crowdfunding Association
CrowdMission is a founding member of the UK Crowdfunding Association (UKCFA). Established in 2012, the UKCFA’s aims are to:
• Promote crowdfunding as a valuable and viable way for UK businesses, projects or ventures to raise funds.
• Be the voice of all crowdfunding businesses in the UK (donations, loans and equity) to the public, press and policymakers.
• Publish a code of practice that is adopted by UK crowdfunding businesses, that protects those participating in crowdfunding.