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StartEngine and Indiegogo Team Up to Help Startups
Raise Capital from Ideation to Series C
StartEngine and Indiegogo Team Up to Help Startups Raise Capital from Ideation to Series C
Two of the biggest names in crowdfunding teaming up to ensure founders have continuous access to capital.
Two of the biggest names in crowdfunding teaming up to ensure founders have continuous access to capital.
LOS ANGELES, CA – August 11, 2022 — Today, two of the biggest names in crowdfunding, Indiegogo and StartEngine, teamed up to ensure that startups have continuous access to the capital they need. In a move that’s the first of its kind, Indiegogo will now share its enormous community of entrepreneurs and backers with StartEngine for follow-on funding rounds all the way through Series C (up to $75M per year). The exclusive deal between the two constitutes an unprecedented leap forward for StartEngine and equity crowdfunding, while delivering concrete benefits for both sides:
- Indiegogo’s community of 800,000+ founders now has an avenue to continue fundraising, while its 11M backers can further support projects they believe in.
- Similarly, StartEngine’s investor community gets a massive influx of new investment opportunities, and companies raising on the platform can reach a larger audience.
- Teaming up with a global fundraising giant adds yet another layer of credibility to StartEngine’s brand of equity crowdfunding and demonstrates its viability as an alternative to traditional funding sources.
The collaboration between the two could not come at a better time either. After an initial post-pandemic boom in investment and soaring tech valuations, funding for startups worldwide fell 23% between the first and second quarters of 2022. Economic uncertainty and dwindling stock market returns severely impacted venture capital portfolios and deal-making activity. As a result, savvy founders are now seeking alternative funding sources to help keep their startup dreams alive.
“At a pivotal moment for founders when many VC firms have slowed their pace of investments, we’ve joined forces with a fellow leader in crowdfunding to ensure startups consistently raise the capital they need. What we have created is a funding ecosystem from an idea stage through Series C,” – Howard Marks, the founder and CEO of StartEngine, explains the unique advantages of joining Indiegogo and StartEngine’s platforms.
The Indiegogo/StartEngine startup ecosystem flow:
- Launch a rewards-based crowdfunding campaign on the Indiegogo platform to introduce or solidify a new concept and acquire customers.
- Raise funds for proof of concept and minimum viable product or prototype and build an enthusiastic community of backers.
- Migrate the community as the company transitions to StartEngine to launch a regulation crowdfunding campaign.
- Raise capital to scale the business while simultaneously acquiring new shareholders who serve as champions of the brand, motivated to see it succeed.
Becky Center, the CEO of Indiegogo, believes that joining forces with StartEngine will prove immensely beneficial for companies crowdfunding on the Indiegogo platform. Calling the collaboration “a perfect segue,” Center shares, “A startup can begin raising capital with us to fortify a concept, acquire customers and scale, and when the time comes, we can pass the baton to StartEngine to help them attract shareholders and raise the rest of the way.”
Marks, who also co-founded the video game giant Activision, firmly believes a founder should always be raising. “As we’re seeing in our current economy, you never know what’s coming around the corner…you protect your company by continually raising and maintaining sufficient capital.”
While many founders assume venture capital funding is a necessity, Marks thinks otherwise, especially now the two crowdfunding platforms have teamed up: “The truth is some businesses may never have to take venture capital.” Case in point, funds raised on Indiegogo, combined with equity crowdfunding on StartEngine – which can reach sums as high as $75 million in one round – are often sufficient for companies to reinvest and grow.
About Indiegogo
Indiegogo is a global crowdfunding platform that enables entrepreneurs to go to market and raise funds from curious backers looking to support the most unique and exclusive products. Our mission is to create a worldwide network of communities that connect trustworthy, professional entrepreneurs and the enthusiasts who power their innovation. Since the company launched in 2008, Indiegogo has helped fund over 925,000 ideas and raised over $2 billion benefitting more than 800,000 entrepreneurs. The company is headquartered in San Francisco and has team members located all across the world. For more information, visit Indiegogo.com and follow us on Twitter, Instagram and Facebook.
Press Contact: press@indiegogo.com
About StartEngine
One of the largest equity crowdfunding platforms in the U.S., led by Activision Games Co-Founder Howard Marks and Strategic Advisor Kevin O’Leary, StartEngine launched in 2015 with the mission to help entrepreneurs achieve their dreams, while enabling everyday people access to private investment opportunities. To date, over $550 million has been raised for startups and alternative assets on the StartEngine platform from more than 800,000 investors. In October 2020, StartEngine also became one of the first equity crowdfunding platforms to launch an investor marketplace where anyone can trade private securities that have raised capital via Regulation Crowdfunding and Regulation A+.
Press Contact: partnerships@startengine.com
StartEngine Crowdfunding Inc. is not a broker-dealer, funding portal or investment adviser. StartEngine Capital, LLC is a funding portal registered with the US Securities and Exchange Commission (SEC) and a member of the Financial Industry Regulatory Authority (FINRA). StartEngine Primary LLC is a broker-dealer registered with the SEC and FINRA/SIPC. StartEngine Secondary is an alternative trading system regulated by the SEC and operated by StartEngine Primary, LLC, a broker dealer registered with the SEC and FINRA. To raise funds, invest or trade on the StartEngine platform, visit www.startengine.com.
