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Many times we have a lot of good and bright business ideas, which however we are unable to implement due to the lack of funds and capital. Raising capital and funds for startup companies is indeed a big problem and many people are not willing to stick their neck out and fund huge sums of money on the projects that may not see the light at the end of the tunnel. So what can such budding entrepreneurs do? The only option left for them is to mortgage their ancestral properties if they are lucky enough to have one or in a worst case scenario, they have to shelve their project ideas and give it a decent burial before it actually takes off. However, the scenario is not as depressing as it seems because nowadays there are many other sources which can be tapped for getting the necessary funds; And one such source that is gaining a lot of popularity is known as Crowd Funding. It is a process of collecting funds for almost variety of reasons whereby many people pool in small amounts of money to fund such projects or requirements. Previously, these crowdfunding projects were usually restricted to charitable purposes, but things have changed a lot now. With the internet being what it is today, a number of enterprising individuals have started websites which attract both the projects for funding and also the donors who are willing to fund such projects.

The advantages with such online crowdfunding projects is that the the whole process is automated and system driven. It is highly parameterized and being available on the internet, it has a much bigger audience or platform for people to gain more information about such projects. If you have a good and effective project idea in mind, then all you need to do is to sign up with any of the reputed and good online Crowdfunding Websites. Your project will be put online and will be advertised to the potential donors who may be situated in any corner of the world. Apart from projects, as an individual if you have an urgent requirement of funds for which you are ready to pay the necessary interest cost, all you have to do is to advertise the purpose the purpose through such websites. Depending on the details of the project and the correctness of your needs, many donors would be forthcoming to pool in their resources so that your projects can take off or your individual needs can be fulfilled.

Another major advantage with the usage of such online modes of crowdfunding is that you can advertise your project ideas through popular networking sites such as Twitter and Facebook. This will enable your project idea to reach even a large audience all over the globe. The reason why crowdfunding is becoming popular compared any other funding modes is the fact that from the donors' or the lenders' perspective his/her exposure is very small compared to the banks and financial institutions which have to bear the burden of the entire funding. Since the exposure is low, the project fund seekers can also expect to receive the fund easier because of obvious reasons as explained above and from this, we can see that crowdfunding harnesses the creative as well as competitive spirit of so many individuals all over the world, enabling them to get funds for their big ideas/projects along with small one.