hire crowdfunding finance experts in las vegas

hire crowdfunding finance experts in las vegas

The Impact of Crowdfunding on Financing Strategies in Las Vegas

1. Introduction to Crowdfunding and its Significance in the Finance Industry

Crowdfunding has been gaining in popularity as a global financing concept. As an innovative form of finance, one explanation for the growing appeal of crowdfunding among issuers is that being able to raise money online from unrelated persons no longer involves costs that make such small transactions prohibitively expensive. In short, crowdfunding harnesses the ability of the Internet to allow contributions of money from many individual backers that, when combined, add up to a significant sum. This can enable individuals to obtain funding they would not have been able to access if they attempted to approach institutional investors. Yet, up to now, there have been few studies on the factors that might affect individuals’ decisions to use platforms such as Kickstarter.

Given the potential significance of crowdfunding, we find little knowledge on the attributes that might impact crowdfunding projects. The dearth of extant research is surprising as many projects claim that the amount raised is driven by factors such as inherent project characteristics, how professional the presentation of the project looks, marketing efforts, and the amount requested. We use crowdfunding projects listed on Kickstarter, the world’s largest crowdfunding platform, to investigate how characteristics of listed projects, including capital structure levels, capital structure targets, and firm profitability, might impact the appeal of the crowdfunding project. As crowdfunding is of rapidly growing importance, it is intriguing and also pertinent that both mainland and Hong Kong regulators are examining the prospects of establishing their own set of rules to regulate crowdfunding practices that are emerging in each jurisdiction. Our contribution also has another important implication: to the academic literature.

2. The Benefits and Challenges of Using Crowdfunding for Financing in Las Vegas

When it comes to the benefits of crowdfunding, the potential advantages are numerous. Firstly, crowdfunding enables entrepreneurs to close the financing gap that lies between the so-called ‘3F’s’ and venture capital. Secondly, crowdfunding can generate publicity, social media impact, and support from followers, helping entrepreneurs test market demand for their projects and increase brand value and customer loyalty. These potential non-financial benefits of crowdfunding might be particularly attractive to smaller businesses, which may also be more likely than larger businesses to have relatively stronger connections with their target customer population. Thirdly, on the one hand, crowdfunding allows for raising capital flexibly and without long waiting times, which are both crucial aspects for businesses seeking to develop time-sensitive real estate projects, and on the other hand, crowdfunding allows for investors to diversify projects, which reduces the risk of the investment portfolio. Fourthly, crowdfunding as a promotion tool is less costly than conventional media. Lastly, inexperienced investors can gain valuable insights into the investment world through crowdfunding sites.

Crowdfunding also presents several benefits for Las Vegas’ specific business sector, mainly formed by small and medium-sized enterprises (SMEs). First, it is a source of capital for a much wider range of entrepreneurs than traditional finance sources, including those who might not typically approach an angel or venture back investor. Because of this, the population of entrepreneurs who might approach these larger investors could be much more diverse. Additionally, the increased accessibility of capital via crowdfunding sites should encourage more entrepreneurs to form early-stage startups and businesses, which is as if not more important than capital for these types of firms. Second, in Las Vegas’ business environment, crowdfunders perceive local SMEs to enjoy a clear advantage. On one hand, many of them have workforces who are very knowledgeable about the products, members of local clubs and initiatives, and therefore in close connection with the local population, who are typically also consumers. This also allows them to gather feedback on the product quickly and make changes to improve the quality of the product or differentiate it in the marketplace.

3. Best Practices and Strategies for Hiring Crowdfunding Finance Experts in Las Vegas

Based on an expanded and customized definition of the “crowdfunding finance industry” and best practices in the hiring process, it was found that 13 principles should be applied when deciding to hire a crowdfunding finance expert to assist in the setup, administration, and operation of all types of equity and debt securities crowdfunding offerings. A national search was conducted looking for competent professional service firms already skilled at handling general finance, accounting, taxation, securities, internet technology, intellectual property, public relations, advertising, and general business needs of corporations and limited liability companies who are seeking professional assistance from a crowdfunding finance expert. Particularly, there was an interest in whether companies currently headquartered in Las Vegas, Nevada or contemplating a move to Las Vegas for business purposes were acquiring such expert assistance locally, regionally, or nationally as the Nevada Division of Mortgage Lending’s regulations do not prohibit the position of refusal of an offering application by the Division.

Of the principles to be used, include determining whether there are any Nevada commercial finance, investment banking, accounting, marketing, or public relations consulting firms that have national knowledge in the private placement, Reg D exempt professional industries requiring Form D filing experience. Another principle is determining the following types of expertise needed or professionals normally needed to complete the crowdfunding finance offering process, amount of total capital to be raised, planned offering size, planned offering time to market in a Title II offering season, and restrictions or preparations in relation to trying to get ready for offerings of this type given new JOBS Act and relevant SEC rule amendments. Each principle generally applies to the business entity’s state of incorporation.

4. Case Studies of Successful Crowdfunding Campaigns in Las Vegas

Case study #1: Hard Hat Lounge – an existing business in need a little help

If you were a hard rock fan haunting the saloons of downtown Las Vegas during the Eighties, there was a good chance that you frequented the Hard Hat Lounge. Well, I know that you didn’t – the place went out of business a couple of years ago. But there is still a good chance that you were there. Bands like Dawn of the Dead, Billy Windsor Band, and C J and the Rent Vessels were probably your cup of tea, and they mixed your punch at the Hat. So, did you ever imagine being able to buy the building you used to stumble home from? Well, now you can. A mere five years after Lonnie Hammargren sold it to a group called Hard Rocks, it is up for sale again. The money guys over at Hard Rocks didn’t sell the place in one piece to a single owner of another tavern. The owner of that Hard Hat renaissance, Mimi Hunt and ‘friends’ (a deep-pocketed aesthete?) are out to ‘raise’ the $54,000.00 that remains on a Postal Savings Loan. All they ask is that you lend them the cash for free and in the tradition of the United States Postal Savings Bank, they will repay you in a series of future payments.

Case study #2: The Realty Club – free money for playing Monopoly

The son of a professor at the University of Utah, the man who wants to start The Realty Club, is called Eric Ford. The Realty Club proposes to purchase properties – duplexes, apartment buildings, triplexes, etc. – and offer them to its members for a modest management fee of $10 – $50 per month that covers operating expenses and loan payments. Once a member has covered the purchase price of the property and operating expenses, the property is returned to the Realty Club, reconditioned and put back on the sales block. Possession of a wis vested in that $10 – $50 a month playing fee. The house is not actually on the block, but the sale will have the charm of art treasures in the Phillips Collection which are to be passed back and forth among club members. But, unlike the Phillips Collection, with its problems of varying maintenance expenses and yellowing canvas, these pieces of property are for sale – rent – buy-play time only. The Realty Club winds you up like a crack-barrel bank and lets you keep on playing. The point, Eric Ford tells us, is to save the money you would have spent on recreational drugs and make your own contacts in the real estate market.

5. The Future of Crowdfunding and its Potential Growth in Las Vegas

Since crowdfunding is rapidly expanding across the country, it is expected that there will be startup success stories from each state which could potentially make it to national news. However, this growth rate cannot occur with the current regulatory constraints. Both federal and local governments struggle to keep up with the explosive growth of crowdfunding as intermediaries and funding portals appear and disappear, yet the demand for crowdfunding cannot be stifled. Entrepreneurs that adapt to this new investment funding model find it preferable to the traditional sales, investment or institutional debt model as they experience pre-funding market validation that votes with individual investor commitments. Once raised, there are high marketing benefits and accrued revenue. Furthermore, entrepreneurs that raise funds via federal equity crowdfunding retain all rights, interests, and control in their companies without dealing with personal liability and escrowed funds. Thereby, entrepreneurs that find the current funds and experienced growth are likely to shun capital sources that impose breakage fees and employee-employment non-compete clauses, retaliatory lawsuits, or disruptive workforce surveillance programs after receiving their startup company’s class of publicly-traded securities. This provides an insignificant catalyst to entice experienced resellers to move trading firms or sales offices into metropolitan Las Vegas. As entrepreneurs continue receiving capital from their crowdfunding network investors, the entrepreneurs will continue running their businesses with authority and economic worth. The resulting empowerment and net worth are predictors of the entrepreneur’s ability to borrow corporate capital and make their clever dreams happen.