The Price of Success:
Crowdfunding and Taxes
CROWDFUNDING IS ALL THE RAGE!
Banks (still) aren’t lending, the government is broke (or broken) and venture capital is highly competitive. How then to start a business in 2013? Crowdfunding says “Ask my friends (and their friends).” It goes against everything we are taught to believe in a hyper capitalist society. We give only when there is a return –a dividend, a tax break, a stake in the growth. Enter crowdfunding – Kickstarter, Indiegogo, RocketHub and others are proving this notion wrong in a Big way. While by no means a sure-fire method to raise funds for a business venture, there are success stories, some of them in the millions of dollars. And taxes are the last thing the founders are thinking about while they are consumed with starting the business and pitching it for crowdfunding. Until. They. Win.
See the full article at crowdsourcing.org
