Startups Anonymous Est. 2013 · Read-only archive
Questions

Better to raise seed through AngelList or CrowdFunder?

We’re looking for a seed round of $500k. We have a proven B2B mobile SaaS product with beta client and ‘very close to signing’ a handful of paying customers. We have a healthy pipeline that are ready to pay once they see more paying clients (usual story).

We have been actively reaching out to and presenting to investors in our network, with some interest. We want to consider all avenues and are thinking about crowd funding.

Which do people vote we have a presence on? Angel List or Crowdfunder, or both? And why? When is too early?

Seems on CrowdFunder there are a LOT of forms/documents it can accept as part of your profile. Anyone had good or bad experiences?

9 answers from the community

AAnonymous· Jun 6, 2014

Angellist.

https://angel.co/companies/done-deals

Plus your work that you put into your profile during fundraising will pay off when you start recruiting there, too.

AAnonymous· Jun 7, 2014

+1

AAnonymous· Jun 7, 2014

+1

AAnonymous· Jun 7, 2014

Good question. Another important one - how much does it matter where you are located?

AAnonymous· Jun 8, 2014

AngelList of course. Never heard of CrowdFunder.

AAnonymous· Jun 8, 2014

+AngelList = free for startups but this "CrowdFunder" charges $100-1000 per month?! Hell no.

AAnonymous· Jun 8, 2014

lol

AAnonymous· Jun 11, 2014

AngelList is better suited for companies that are based in Silicon Valley or the Bay Area, and already have a shiny SV investor already in on their raise. Crowdfunder is better suited for companies that are earlier-stage, and don't necessarily have a notable investor already in their deal.

Crowdfunder charges up front fees on a monthly basis, but AngelList also charges a $10K closing fee to collect on the investments that are made on their platform. This is a fee they don't advertise up front on their platform.

There are pros and cons to both. AngelList has been around longer, has a larger network, and has more raises listed on their Completed page (https://angel.co/companies/done-deals).

Conversely, Crowdfunder has only been in operation for 10-11 months, but has still helped a number of startups raise capital (https://www.crowdfunder.com/funded).

Bitvore reports that they raised twice as much on Crowdfunder as AngelList, so it really depends on the company. Nothing wrong with running parallel campaigns on both platforms at once...

AAnonymous· Aug 18, 2014

We created a tool to help compare platforms: https://fundwisdom.com/crowdfunding-investors/funds-being-raised-by-platform

We are also collecting the costs platforms charge startups and investors: https://fundwisdom.com/crowdfunding-businesses/equity-based-crowdfunding-platform-costs-and-fee-structures

Hope this helps! Brian