Since being launched in February 2008, crowdfunding website Indiegogo has raised funding rounds totalling almost $57million. Note this is just the figure related to how much the site has raised for its own initiatives.
While there is no publicised figure related to how much in funding the various projects featured on Indiegogo have raised since foundation, considering over 190,000 projects have been funded the figure will likely reach into the hundreds of millions, if not billions. Indiegogo’s high fund figure has been boosted by their latest funding round, which closed at $40million as reported by Crunch Base Daily and the London Financial Times.
Crunch Base has reported that this fundraising round was led by California based Institutional Venture Partners and that Insight Venture Partners and MHS Capital were among those to invest heavily. Speaking to the Financial Times, founder and Chief Executive Slava Rubin said, “We’re committed to making Indiegogo the world’s funding engine and giving people access to capital worldwide.”
The raising of such a significant sum of money once again highlights the growing global trend towards online fundraising, both from a crowdfunding model as well as from an equity perspective. Both types of platform are popular because they offer widespread accessibility to anyone who wants to invest, generally making it easier for cash to be raised and for deals to be done.
In addition to Indiegogo, the other instantly recognised name when it comes to crowdfunding is Kickstarter. The number of online platforms for advertising private equity deals and raising capital is also increasing; our very own site here at DealMarket is highly regarded in the industry, while AngelList and Fundable are among the others that attract a lot of attention. A full list of such platforms can be found here.
It is possible that Indiegogo’s $40million funding round is just the start for the industry in 2014, particularly as they have gone public with their intentions to expand and their competitors will definitely look to respond.