I still don’t think Nigeria has fully adopted the idea of crowdfunding!
I think crowdfunding is already in play in various platforms today. The likes of Farmcrowdy and Thrive Agric, even Piggyvest has a feature called Investify which is basically a crowfunding system within the Piggyvest system.
Are these agricultural based crowd funding platforms? Just going by the name here
There are lots of pros however there is one primary con and that’s what might dissuade people, and that is simply fraud.
Yep, they are agric-based. But Farmcrowdy has another company in the crowdfunding space that isn’t agric-based. I think the company is Crowdyvest if I’m not wrong. Users can invest in generic projects for some percentage interest. From funding projects such as property renovations to vehicle acquisition for transport businesses, and what have you.
I think the companies have done well in establishing trust in the ecosystem and they should have insurance to hedge people’s investments, so fraud is not an issue.
Crowdfunding is already in play, Crowdfunding is a good thing, Crowdfunding is another option to raise money. I am not of the school of tot that we aren’t ripe for it , Nigeria is over ripe for this tool…however, my take here is the dire need for strict regulations in place to protect investors fund…too many folks have been scammed in the past years and may more in the waiting to be scammed…sure you agree with me .
Nigeria is still doing the safer crowdfunding options: known product, promised dividends. These have known pros (a way to save, better interest rates than most banks especially when there are no charges, insurance too) and cons (I don’t see much, maybe capped interest rates?).
The trick will be to take it to the next level: where you aren’t promised a financial return but a stake whose value can increase (or decrease). This is the Kickstarter level where people have more options than agriculture (I’ve heard rumbles of people working on something along entertainment lines) and returns could be higher. Here, the cons, just like the pros would be as big as Kickstarter’s: people not delivering on goals, mismanaging funds.
There have been a few successful ones… I remember doing some small amount for TomatoJos and some Nigerian comicbook thing.
Anywhere to read more about the TomatoJos?
I think this is a brilliant initiative in Nigeria. To also enable small and medium earners partake in the investment opportunities.
Their website perhaps? The founder Mira is quite active on Twitter too.