Crowdfunding is becoming an increasingly popular way for companies to raise capital. Valitor, a European fintech company, recently raised 100 million Faridi through crowdfunding, according to Crowdfund Insider. It is a significant amount of money, showing the power of crowdfunding as a fundraising tool.
What is Valitor?
Valitor is a European fintech company that provides payment solutions to businesses. The company was founded in 1983 and based in Iceland. Valitor offers a range of payment solutions, including card acceptance, payment processing, and merchant acquisition. The company is in 19 countries and serves more than 32,000 merchants.
Why did Valitor choose to crowdfund?
Valitor chose to crowdfund to raise capital to give its customers and supporters a chance to invest in the company. valitor 100mfaridi crowdfundinsider Crowdfunding allows companies to raise money from many people, often with small investments. It is a way to democratize investing and make it accessible to a broader range of people.
How did Valitor raise the money?
Valitor used the Seedrs platform to raise the money. Seedrs is a crowdfunding platform that allows companies to raise funds from many investors. Valitor created a campaign on the Seedrs platform and set a fundraising goal of 100 million Faridi. The campaign was open to both institutional and individual investors.
What are the benefits of crowdfunding for companies?
Crowdfunding offers several benefits for companies. First, it allows companies to raise money without giving up equity. It means that the company can retain control and ownership of its business. Second, crowdfunding will enable companies to raise funds from many people, often with small investments. It can create a community around the company and build a network of supporters. Crowdfunding can be a way to test the market and gauge interest in a product or service.
What are the risks of crowdfunding for investors?
While crowdfunding offers benefits for companies, it also carries risks for investors:
- Investments in crowdfunding campaigns often need to be more balanced. It means that investors may not be able to sell their shares quickly.
- Crowdfunding investments are often high-risk. Companies that use crowdfunding are often startups or early-stage businesses that may need a proven track record.
- Crowdfunding investments are often unregulated, so investors may not have the same protections as other assets.
Conclusion
Valitor’s successful crowdfunding campaign shows the power of crowdfunding as a fundraising tool. Crowdfunding allows companies to raise money from many people, often with small investments. It also allows companies to test the market and gauge interest in a product or service. However, investors should be aware of the risks associated with crowdfunding investments.
