Presentation about professionalizing crowd funding

1. Innovation in Funding Sustainable Initiatives -
the Role of Crowdfunding
Jan-Willem Bode
Planet B Ventures
Enviu Night Barcelona

2. Planet B - our
beliefs
We don´t need another
planet, we need better
solutions for the existing one.
Solutions that are less
resource intensive,
sustainable from an
environmental, economic and
ecological point of view.
Innovation focusing on
technologies, finance and
using the crowd.

3. Planet B
Planet B Planet B
Advisory Ventures
Financial structuring Finance
Strategic consultancy Internet
Non-executive mgt Startup help

4. Planet B
Angel fund
(currently being
raised)
Planet B Planet B
Advisory Ventures
Financial structuring Finance
Strategic consultancy Internet
Non-executive mgt Startup help

5. Ideation Research Startup Fast Growth Transition
Own Capital Seed Capital Venture Capital Refinancing
Project Finance

6. Ideation Research Startup Fast Growth Transition
Own Capital Seed Capital Venture Capital Refinancing
Project Finance
Valley of
Death

7. Trends
• Social networks
• Economic climate
• Sustainability

11. What is crowd funding?
Crowd funding describes the collective cooperation, attention and
trust by people who network and pool their money and other
resources together, usually via the Internet, to support efforts initiated
by other people or organisations.
Wikipedia, accessed on 25 January 2012

12. Crowd funding - state of play
• Large sums of money, but mainly donations (over a billion USD world wide,
100s of millions in Europe)
• Still mainly in the creative and charity sectors
• Main models are donation, lending, donation in exchange for a specific
service or good
• Currently crowd investing coming up as well, rapid increase expected over
the next couple of months.

14. Non-monetary benefits of crowd
funding
• You´re not the only one who believes in your project (Third party validation)
• Building a network of supporters and advocates (Word of mouth marketing)
• Optimise your product or offering through direct feedback (Market testing)

15. Example - WakaWakaLight
•

16. Example - www.2050publishing.com
• Online news, magazine and book
publishing platform about
renewable energy, energy
efficiency and climate change
• Book will be written together
with the crowd, magazines are
compilation of articles and crowd
responses
• 80% of the shares of
2050publishing.com will be
crowd funded before 2050

17. Ideation Research Startup Fast Growth Transition
Own Capital Seed Capital Venture Capital Refinancing
Project Finance

18. Ideation Research Startup Fast Growth Transition
Own Capital Seed Capital Venture Capital Refinancing
Project Finance

19. Ideation Research Startup Fast Growth Transition
Own Capital Seed Capital Venture Capital Refinancing
Project Finance
Valley of
Death

20. Ideation Research Startup Fast Growth Transition
Own Capital Seed Capital Venture Capital Refinancing
Project Finance
Valley of
Death

21. Ideation Research Startup Fast Growth Transition
Own Capital Seed Capital Venture Capital Refinancing
Project Finance
Traditionally problematic for fundraising,
now even worse
Valley of
Death

22. Ideation Research Startup Fast Growth Transition
Own Capital Seed Capital Venture Capital Refinancing
Project Finance
Traditionally problematic for fundraising, Traditionally possible, now
now even worse much more difficult
Valley of
Death

23. Ideation Research Startup Fast Growth Transition
Own Capital Seed Capital Venture Capital Refinancing
Project Finance
Traditionally problematic for fundraising, Traditionally possible, now
now even worse much more difficult
Crowd funding, traditionally non-existent, now picking up rapidly
Valley of
Death

24. Professionalisation
• Valuation
• Process (due diligence, transparency, documentation)
• Back office (security, ease of use, legal and fiscal solidity)
• Crowd funding as part of more advanced financial structures
• Regulation (FSA, AFM, etc)
• AML

25. Closing remarks
• Crowd funding is emerging as an alternative to traditional financing options
and will find it´s place in the mix
• It provides a strong base for market testing, and gathering a following,
supporters of initiatives, projects and ventures
• Professionalisation required, which will allow crowd funding to go properly
to crowd investing
• Enviu and Planet B are currently developing a sustainable crowd investing
platform, more news in April.