Everything You Need to Know About Using an ICO to Raise Capital
Late last year, we wrote an article titled:”Raise Money for Your Startup: Should You Use An ICO to Raise Capital?” The receive positive receptions from our audience. A lot has changed since then. Cryptocurrencies including Bitcoin and Ripple have seen new lows. But things are beginning to pick back up. Giving the difficulties associated with raising funding from traditional venture capitalists, ICO still remains a viable option for startups to raise capital. That’s why Fundera, a marketplace for small business financial solutions, has created an infographic to guide startup founders about things to consider before they make their ICO leap.
To launch a first-time venture, tech entrepreneurs are faced with several startup funding options, including bootstrapping their ventures, taking out a business loan, or leveraging the popularity cryptocurrency by launching an ICO to raise capital.
Short for Initial Coin Offering, an ICO can be an efficient way to raise money for a new project, as it gives companies the funds they need to operate by selling crypto tokens in exchange for other types of cryptocurrency like bitcoin or ether. This manner of raising business capital is often referred to as the crowdfunding of cryptocurrency and can be a worthwhile funding option because it allows startups to retain control of their companies and has little regulation, allowing entrepreneurs to see a significant ROI without facing prohibitive red tape.
To learn more about using an ICO to raise capital for a startup, check out the infographic from Fundera below.
This Infographic was created by Fundera, the go-to financial resource for every small business—helping you face your challenges, achieve your financial goals, and grow businesses as big as your aspirations. You can learn more by visiting their website at Fundera.com