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    News: The downside of medical crowdfunding.
    Source: The downside of medical crowdfunding

    Crowdfunding is the use of small amounts of capital from a large number of individuals to finance a new business venture.

    Crowdfunding makes use of the easy accessibility of vast networks of people through social media and crowdfunding websites to bring investors and entrepreneurs together, and has the potential to increase entrepreneurship by expanding the pool of investors from whom funds can be raised beyond the traditional circle of owners, relatives and venture capitalists.

    Crowdfunding has created the opportunity for entrepreneurs to raise hundreds of thousands or millions of dollars from anyone with money to invest. Crowdfunding provides a forum to anyone with an idea to pitch it in front of waiting investors.

    There are different types of crowdfunding like debt based, equity-based, cause-based, rewards based, software value token, donation based, litigation, etc.

    Public-Private Partnership (PPP) based on the equity-based model is practised in crowdfunding in India.

    Wishberry, Milaap, Miracle Foundation, RangDeCrowdCube and Seedrs are some of the leading crowdfunding platforms in India.

    Wishberry funds for creative artists. Milaap is a platform for Charities and Miracle Foundation works for orphans. RangDe is an internet-based peer-to-peer micro-lending platform that facilitates low-cost loans to rural entrepreneurs across India. CrowdCube and Seedrs are Internet platforms which enable small companies to issue shares over the Internet and receive small investments from registered users in return.

    A number of other platforms have also emerged recently which are specialized in the funding of scientific projects, such as experiment.com, and The Open Source Science Project.