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Equity Crowdfunding Opens Doors

What if the members of a community, from all backgrounds and income brackets, could pool all of their money together to create the community they wanted? Redevelopment leaders in Fairmont, West Va. are looking for ways to answer that question, to find ways for interested stakeholders to invest in projects that will create the community they want to live in—and to make financial returns in the process. Crowdfunding, the method of funding a project by raising contributions from a large number of people, has evolved from funding charitable causes or innovative products into funding major redevelopment through real estate and business development. This type of fundraising, called equity crowdfunding, allows investors to receive returns on their investment, as they would in a traditional investment model, rather than a rewards-based investment like the popular Kickstarter model. Until recently, federal legislation limited these kinds of crowdfunding investments to only accredited investors, or…Log In to Read Full Article

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