European Economy - Peoples Capitalism: Crowdfunding helps Europe’s businesses boom

Peoples Capitalism

Crowdfunding is no longer a niche, it’s booming in Europe. In this edition of Business Planet, from Finland, Serge Rombi finds out how platforms work and what makes a successful campaign.

“Global crowdfunding was more than 30 billion euros last year,” Lasse Makela, CEO of the Invesdor crowd-funding platform, told euronews’ Serge Rombi.

“It’s growing by more than 100 percent per year. And it’s going to be larger than venture capital financing this year.”

In the autonomous Aland islands in the Baltic Sea, a family-run SME produces 100 percent natural lemonade, using only local products.

In 2014, Tony Asumaa – founder of Amalias Limonadfabrik – realised that he needed to expand production and he immediately opted for crowdfunding.

“We chose crowdfunding because it was cheap, efficient, fast and, above all, non-bureaucratic – to get new capital into the company,” he said.

Through Lasse’s platform, Tony won more than 86-thousand euros in equity crowdfunding.
In other words, those who invested in his company are now shareholders.

“We have 163 new shareholders. As our ambassadors, they promote our products, they sell them. Some restaurant owners sell products throughout the country,” said Tony.

 Read more: Crowdfunding helps Europe’s businesses boom | euronews, business planet

EU-Digest

The Netherlands: Crowdfunding - Debut Of Exciting New Dutch Vocalist Jo Sarah

Jo Sarah

Following our earlier report we met up again with the exciting new Dutch singer Jo Sarah and asked her how her  recordings have been going these past weeks. 

"These have been some fast moving weeks recording my album. It was really  awesome recording my songs at the Wedgeview studio’s with my band - they were fantastic", said Jo

The album is going to be really special.  she said and will have 5 songs and a small surprise!! "So please stay tuned for the release in January 2015."

 "We are now in the process of mixing the songs….and I can already hear and feel it’s going to be an album to be proud about", says Jo Sarah

Sarah said she has also started a "crowdfunding" to finance the production of her album and  donations already reached 50% of her goal - thanks to all the people who have graciously donated funds.

Anyone interested to help Jo Sarah reach her funding goal can find out more about it by clicking on the following link:  Crowdfunding Jo Sarah!

EU-Digest

European start-ups court crowds for cash - because banks don't help - by Natalie Huet

When Vincent and Heloise opened a mash eatery in Strasbourg, they had a feeling their unusual concept could thrive elsewhere in France. But one thing was painfully missing: cash.

Like more and more budding entrepreneurs in Europe, the pair of trained engineers turned to individuals, not banks, to help their business sprout and one day open a venue in Paris.

At this self-service food bar, customers scoop from a colourful display of mashed vegetables, all seasonal, local and organic. They top them with sausage, tofu or another protein, and some gravy.

This is “a new generation of fast food: still fast, but good,” said Vincent Viaud, 26, co-founder of Pur et Caetera.

As European banks keep tight control on lending and investors face poor returns on their savings while financial markets are still jittery from the region’s debt crisis, cash-hungry companies are increasingly turning to an alternative form of financing known as crowdfunding.

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