Crowdcube has outlined the details of an affiliate programme that will enable any provider of services to small businesses to offer their own crowdfunding service.
Instead of competing for venture capital funding or bank finance, small businesses can use Crowdcube as a platform to connect with a nation of ‘Armchair Dragons’ – ordinary people as well as sophisticated investors – who provide investment in exchange , for equity.
Crowdcube will manage the service as a co-branded portal at no cost to the affiliate.
The company believes that its programme will provide accountants, angel networks, venture capital funds, and other businesses or non-profit organisations serving the UK’s small business community, with an added value service that could help to drive revenue and increase the number of small businesses with access to finance.
Crowdcube Affiliates can direct their own clients or members to a co-branded crowdfunding website – hosted and managed by Crowdcube – which they can use to seek finance or invest in one of the small businesses registered on the site.
Businesses registering on the affiliate portal to find finance will also be automatically listed among the pitches on the Crowdcube site. Affiliates can choose how they want to brand their portal and customise it with their own logo, wording and design.
Pegasus Funding, a specialist funding firm for all types of business, has signed up to the programme. Peter Kelly, partner at the firm said, “Equity finance can come from a number of sources, but has always been difficult to find. Typically only 2% of companies succeed in finding equity investment. Crowdcube is revolutionising access to equity investment and we’re delighted to be able to offer our clients such an innovative solution to a difficult challenge.”
The Growth Academy, a mentoring and coaching company, has also joined the programme. Craig McKenna, managing partner at the firm said, “We are always looking at ways to grow the services we provide based on core business challenges. Raising finance is one of these core challenges facing growth companies today and so we’re pleased to be able to offer our customers assistance in this area.”
Darren Westlake, co-founder and CEO of Crowdcube, said of the partnership: “Since our launch nearly a year ago, Crowdcube has gone from strength-to-strength and our Affiliate Programme marks another significant milestone on our journey so far.”
Crowdcube, named by Startups.co.uk as one of the top 20 hottest start-ups in 2011, has over 7,600 registered members who are seeking investment opportunities.
http://www.crowdcube.com/pg/affiliate-partnership-33
