LOS ANGELES--(BUSINESS WIRE)--NextGen Crowdfunding®, the leading company that helps people explore new types of crowdfunding, announces that more than $37 million in investor commitments have been made for 142 Title III/Reg CF crowdfunding campaigns since the new crowdfunding rules took effect one year ago.*
According to NextGen’s Crowdfunding Dashboard, which tracks the progress of all “Regulation Crowdfunding” offerings, more than $32 million was raised for the 113 campaigns that have now closed. The average amount raised by Title III campaigns that have ended and met their funding goals was about $285,000.
About $4 million in investor commitments have been made for the 29 currently active campaigns that have now exceeded the 100% level of minimum commitment threshold.
The Title III regulations now allow anyone to invest in startups online through crowdfunding. Before the new regulations, only wealthy investors who met high income requirements could invest in early-stage companies. Under these new rules, companies are able to raise up to $1 million from both new and accredited investors.
“The first year of Title III data shows that investment crowdfunding is a viable option for many entrepreneurs, startups and small business owners,” said NextGen Crowdfunding CEO and Founder Aubrey Chernick. “Since launching a year ago with only a handful of campaigns, the industry has seen tremendous growth with commitments continuing to rise each quarter.”
“We have seen a continued uptick in activity in March and April of this year, which suggests that platforms are getting better at helping companies launch,” said Dr. Richard Swart, Chief Strategy Officer of NextGen. “Costs for issuers are also declining, meaning that attorneys and accountants are figuring out more cost effective models to help these firms. These are very positive signs for any company looking to use Title III.”
The companies that have closed their Title III campaigns and raised the maximum of $1 million from investors include:
- Golf Board
- Hops and Grain
- Hopsters Brewery
- Legion M Entertainment
- Sondors Electric Car
NextGen is tracking data on Title III through its Crowdfunding Dashboard, which was recently relaunched with new features and functionality, including a focus on the top five active campaigns based on percent of goal achieved, active campaigns by category, and active campaigns by platform. NextGen also offers a Personal Dashboard for people to track data on specific campaigns.
*Data is as of May 18, 2017.
NextGen Crowdfunding helps people explore the new era of investment crowdfunding. With unique in-person events and live streaming video content, NextGen enables individuals to discover, research and support specific companies launching crowdfunding campaigns. NextGen’s unique Ignition Events showcase the companies and emerging businesses presenting equity crowdfunding campaigns. NextGen also provides educational content, including online webinars, boot camps and videos, to inform the public about equity crowdfunding. NextGen also provides education to, and visibility for, companies with crowdfunding campaigns. As a purpose-driven company, NextGen aims to encourage entrepreneurship and help spark a new economy. Visit http://www.nextgencrowdfunding.com.