Different types of Crowdfunding

 

Donation-based Crowdfunding (American Cancer Society): Contributors can give away
their money and this works if you are promoting a legitimate cause.

Rewards-based Crowdfunding (Kickstarter): Contributors can receive perks like special
recognition but not financial return.

Debt-Based Crowdfunding (Lending Club): Lenders have to be repaid, usually with interest.

Equity-Based Crowdfunding: Contributors may become owners (SEC defining rules).

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