A new funding option for startupsWalter Yeates
While banks have recently begun lending more money since the recession began a decade ago, startups continue to have trouble finding fair funding opportunities. Traditional banking options come with rigged payment plans, extreme collateral, and added stress to entrepreneurs who are already concerned over the financial future of their business.
Crowdsourcing has become a popular option for entrepreneurs eager to see their idea come to life. While a valid avenue, crowdfunding may not cover all the costs associated with a new business - leaving otherwise great ideas without the necessary resources to move towards production.
However, new outlets are emerging for entrepreneurs and investors to come together in order to create an equitable partnership where all parties involved mutually benefit from a successful project.
The most popular cryptocurrency gained their notoriety almost exclusively through speculation. Recently, emerging crypto coins have begun developing around real world application - similar to traditional fiat currency. CORL, a Canadian cryptocurrency company is attempting to blend together crowdsourcing and traditional lending with a progressive revenue sharing model, which is equally beneficial to entrepreneurs and investors.
Their methodology provides entrepreneurs with a stress-free loan process - including a flexible repayment schedule. Investors are treated with an equitable portion of the revenue due to CORL's progressive revenue sharing model. Their model targets a flexible 5-year payback term and is tailored for each company’s unique situation.
After attending the Blockchain Economic Forum (BEF) in Singapore during February of this year, CORL decided to increase the initial funding amount of their upcoming Initial Token Offering (ITO) in April. The amount went from $44 million to $49.5 million - while lowering the price of their CRL token.
The success of CORL would bring an additional avenue for entrepreneurs to fund brands, projects, and unique concepts in ways that have not been available to most in the past. Investors would also have the ability to choose which companies they fund - an important aspect as social responsibility has become vital to Millennials and Post-Millennials.
In essence, more individuals would be able to acquire the funding necessary for their projects to move forward and more people would be willing to invest due to the amount of transparency available at all levels. With a guarantee of equity, transparency, and flexible repayment programs - the doors of innovation could open to the working class around the world, who typically don't have the benefit of being connected to wealthy individuals or banks.
Equity ownership and crowdsourcing methods would be a boon for the international working class who want to invest their money in projects they believe in. Blockchain technology and cryptocurrency open doors that were closed to many entrepreneurs and investors. The success of CORL and other companies which attempt to replicate their unique model would positively affect the economy of India and other emerging economies around the world.