By:Â Pablo Erbar
“The biggest challenge in this industry is that simply listing your company on a platform or website is never enough”, said CrowdfundX CEO Darren Marble in a recent interview with Small Cap Nation.
Third-party firms such as CrowdfundX, allow companies to overcome this obstacle by helping the issuer craft an authentic and compelling story that will resonate with the crowd, as well as distributing the story through a combination of a “paid-earned-owned” strategy and social media marketing. This enables companies struggling to raise capital by traditional means to take their investment opportunities directly to customers and fans or followers.
Thanks to CrowdfundX, the automotive start-up Elio Motors managed to raise $17 million from 6.500 everyday Americans and went on to become the first crowd-funded IPO. According to Marble, the crowd-funding industry is set to explode in 2017, as countless businesses are looking to follow in the footsteps of the industry’s poster child. As explained by the chief executive, 95% of its clients are “companies similar to Elio Motors; they’re issuers seeking capital through Regulation A-Plus offerings”.
CrowdfundX will be hosting the Crowd Invest Summit on December 7th and 8th at the Los Angeles Convention Center, in an effort to expand its business and attract new clients and investors. As indicated by Marble, “the vision is to connect everyday Americans with crowd-funded investment opportunities and ironically those are the two demographics of people that are constantly missing at every other conference in the industry”.