A cash strapped graduate who built a specialist digital camera from scratch because he could not afford one is celebrating
Peer-to-peer lending is one of the most exciting developments of recent modern finance. It is also the chance for finance to become democratised, as investors themselves decide who to lend to, and what a borrower is charged.
"I put up on my blog that I had written a movie script titled LUCIA, and was looking for investors," remarks Pawan. "I gave the audience the option to put in little chunks of money in the project, the idea was to make a good movie which was purely an artist's work and was free of market pressures. I was able to raise 51lakhs (£ 55,584) in just 27 days."
Crowdfunding, I thought, "what better than to try it myself?" In reality, there were few other options. I could throw away the book and get on with being a businessman; pay to publish it myself or put it on Amazon where it would get a digital sale and no one would really know if it was a success or not - in other words I could avoid losing face. But all three sounded cowardly.
A teenager who dreams of being an actress is desperately trying to raise money to fund her education after she won a place
In a world where bank loans are getting smaller and government initiatives have limitations in terms of their effectiveness in supporting SMEs, crowdsourcing stepped in as the social media answer to the SME funding question.
The success of the Pebble watch shows what can be achieved when you catch the zeitgeist with crowdfunding.
The Treasury has announced that peer-to-peer lending will fall under the Financial Conduct Authority for its regulations
Some charities have dipped their toe in the water of crowdfunding. Cancer Research UK now have a nifty function on their online donation section that allows people to contribute to specific research projects. And of course charities have hugely benefitted from the success of JustGiving.
Crowdfunding is being talked about a lot as the hot new way to finance creative projects such as films, books, games, technology, working on the principle that a large number of individuals will come together to support and fund projects that they really care about.