Event Location: The Moderns, 900 Broadway, NYC Date: November 19, 2013, 6:00-9:00 pm Get Tickets Drinks and snacks will be served.
Summary: The 2012 JOBS Act (Jumpstart Our Business Startups), has created myriad options to raise money from many.
But which Crowdfunding Platform is right for your business?
To answer that question, Amy Cortese, author of Locavesting, will guide us through presentations from representatives of a variety of Crowdfunding platforms. Hot off the press! This article helps explain the impact new SEC rules on raising equity through Crowdfunding, prepared for Slow Money Northern California by Attorney Jenny Kassen. Presenters include:
• IOBY – Micro-donations for local environmental projects – Co-Founder Erin Barnes – More
• Smallknot – Donations for local companies – Founder Jay Lee – More
• KivaZip – Zero Interest Loans for local businesses – Liezl Van Riper, Dir. of Development. More
• Credibles – Prepay for farm and store credits – Founder Arno Hesse – More
• Mission Markets (Beta) – Customizable platform for impact capital raising – Dawn Edwards, Sr. Managing Director – More
• Return on Change – Investment platform for high-impact startups – Founder Sang Lee – More
For some additional background info, check out this recent article by Andrew Hanks, due diligence expert and founder of Crowdcheck. Pictured above: Erin Barnes, Jay Lee, Liezl Van Riper, Arno Hesse and Dawn Edwards.
Entrepreneur Presentations: Entrepreneurs will present their story of sustainable business for 10 minutes each. Invited enterprises include: • Blue Marble Ice Cream – Jennie Dundas, Founder – Organic Ice Cream Made in NYC. • Iroquois Valley Farms – Kevin Egolf – Fund for Purchase and Preservation of Small Farms • The Splendid Spoon – Nicole Chaszar, Founder – Ready to eat vegan soups made with local ingredients
Pictured Above: Jennie Dundas, K. Egolf, Nicole Chaszar, Sheila Akbar & Angela Fout.
Lightning Round of Elevator Pitches from concept-stage business:
• Bed Stuy Fresh and Local – Sheila Akbar, Founder – Community Grocery Store stocking Locally-Sourced Foods
Our Pitch Competitors: Where Are They Now? We invited participants in our Pitch Competition from the Food Book Fair held on May 5, 2013 Status Update:
• Sohha Savory Yoghurt – Winning Pitch – Angela Fout, Founder – Savory yogurt made with NY milk
• Rooftops Reds – Devin Shoemaker – Rooftop wine grapes for urban vintages
• Global Kitchen – Leah Selim, Founder – Cooking Classes celebrating Chef Instructor’s authentic culture and traditional recipes.
• Switchel LLC – Ely & Garrett, Founders – Hydrating beverage with all-natural local ingredients
• Farm to People – Michael & David Robinov, Founders – Online store featuring independent, small-batch producers and small farms from the Northeast region. • Invited: Borough Mushrooms, Local Bee, and Browder’s Birds.
More on ioby
ioby is a digital crowd-resourcing platform that supports citizen-led, neighbor-funded initiatives that make neighborhoods stronger and more sustainable. On ioby, anyone can raise tax-deductible donations, recruit local volunteers and share ideas.
Erin Barnes, Founder: The Rockefeller Foundation awarded Erin Barnes and her co-founders at ioby the 2012 Jane Jacobs Medal for New Technology and Innovation. Before ioby, Erin Barnes was a freelance environmental writer and a community organizer. She has a B.A. from the University of Virginia and an M.E.M from Yale University. Erin lives in Brooklyn and serves on the Board of EcoDistricts, and as an advisor to ArtBridge and the Social Innovators Collective.
More on Smallknot
Smallknot is a community crowdfunding platform for small businesses. Smallknot connects local people with local businesses to fund improvements and projects by facilitating a funding campaign through pre-sale financing — a “loan” repaid in products, services and experiences. We also partner with lenders to combine crowdfunding with a small business loan. Smallknot has helped raise over $300K to date in approximately 100 campaigns.
Success Story: Franklin Hill Vineyards is a small family-owned vineyard in Bangor, Pennsylvania. They planted an experimental vine in 1976 at a time and place where no one thought that wine grapes or even wine was possible. They began producing wine in 1981 and have used those same vines ever since for almost four decades. They ran a Smallknot campaign in June of 2013 and quickly raised almost $5500 to replant 2000 young vines to keep the family business going. 12 people even had the opportunity to have a row of new vines named in commemoration for someone they loved — which disappeared in a matter of hours.
Jay Lee is the Founder and CEO of Smallknot. Prior to Smallknot, he worked as a corporate and securities lawyer at in New York City. In addition to Smallknot, he currently manages special projects for Farmigo, an online people powered farmers market.
More on KivaZip – In 2014, Liezl will spearhead the launch of Kiva City New York, which will extend micro-finance to entrepreneurs across the region. Kiva Zip is a website where individual lenders from around the world can crowdfund small business loans to entrepreneurs, artisans or farmers in $25 increments, at 0% interest. Over time, as loans are paid back, the individual lenders get their $25 back, and can relend it to another entrepreneur.
Success Story: An example of how KivaZip helped fund a sustainable food enterprise is River Hill farm: https://zip.kiva.org/loans/1353 Alan is the proud owner of Riverhill Farm in Nevada City, CA. Alan raised $17,000 from 220 individual lenders on Kiva Zip, in less than a month. Alan was “endorsed” for a Kiva Zip loan by an organization called California Farmlink, who had known Alan for several years, and so deeply trusted his character, and commitment to repay the loan.
Together, Alan and California Farmlink invited 38 new Kiva Zip lenders to fund Alan’s loan, but that was supplemented by 182 lenders from the wider Kiva Zip community. The dialogue between Alan, his trustee, and his 220 lenders was incredibly encouraging and positive. Funds Moved: $2.1M in 2 years. Liezl is responsible for creating and expanding Kiva’s fundraising, loan-raising and program-related investment (PRI) partnerships with foundations, corporations and philanthropists.
More on Credibles
Credibles is a service offered by Slow Money, and powered by Clearbon, for crowd-funding small, sustainable food-related businesses. On Credibles.org, customers crowdfund their favorite food business by prepaying their purchases in advance, in exchange for “edible credits”.Instead of having to pay a bank loan back in cash, the businesses repay their funders with products they can grow or cook themselves. The outstanding Credibles can be tracked and transacted with mobile apps.
Success Story: Business in all stages of the food chain raise funds with Credibles: farmers, dairies, producers, co-ops, stores, restaurants. (“If you eat, you’re an investor.”) A single business can raise thousands of dollars, – repeatedly. While originally launched as a fundraising platform, the business find that prepaying customers come by significantly more often (2x-3x). The service is not restricted to limited, one time campaigns with fixed money goals.
Arno Hesse, Co-Founder – Before Credibles/Clearbon, Arno was Executive Vice President for Retail Products and Marketing at Union Bank (over $80 billion in assets) where he led Product Management, Customer Experience Management, and Marketing. Over the past 20 years, he has executed market strategies with a special focus on changing organizational cultures, as culture tends to eat strategy for breakfast.
As a founding member of Slow Money, Arno works on directing investments into local food systems.
More on Mission Markets
Mission Markets is unlocking the full potential of capital markets by integrating community and shared values to create a sustainable economy. We provide the technology and expertise to connect investors to mission-focused organizations. Our market supports a broad range of financial products from donations to debt and equity investments.
Dawn Edwards – Senior Managing Director, Institutional Investor Services
Dawn brings over 20 years of institutional capital markets experience and manages Mission Markets large institutional investor and issuer relationships. In 2006, Dawn co-founded and became the President of AltruShare Securities, LLC, is the first institutional brokerage firm specializing in community investment, and the only nonprofit owned brokerage firm based in Bridgeport, Connecticut.
More on Return on Change
Return on Change is an investment platform connecting high-impact startups with investors. We work
with socially innovative startups in the Tech, CleanTech, Life Sciences, EdTech, and Social Enterprise sectors. Democratizing startup finance through crowdinvesting, investors come together to help fund startups in exchange for a share of the company.
Success Story: Over $30 million of current startup deal pipeline, approx $45 million of interested wealth, $1 million of investment reservations
Sang Lee is the CEO and founder of Return on Change <http://www.returnonchange.com/> and the Executive Director of CF50, a global crowdfunding think tank. He is a recovering investment banker who strives to use his background in financefor good. He was awarded the Under30CEO of NY in 2012.