New crowdfunding platform launched
First Funder - http://www.firstfunder.com - is pitching itself as a safer way for donors and potential investors to contribute to organizations. The company says it is building on ideas developed by micro-lending and crowdfunding websites such as Kiva.org, but it will have closer relationships with organizations trying to raise money.
Those relationships will allow investors to be more confident the organizations they support are legitimate and well run, according to a press release from the company.
First Funder also does not let organizations use it for "one-off campaigns." Instead it hopes to help build organizations that will continue to have an impact.
"We help our partners build sustainable communities so that everyone involved in a crowdfunding transaction wins," First Funder chief executive Jonathan Beninson said in the release.
Eight organizations are on First Funder, but they have yet to launch fundraising campaigns.
Initially, First Funder will facilitate donations to organizations that use it to raise funds. According to the release, First Funder will transition to support equity-based funding in the future, after provisions of the JOBS Act regulating crowdfunding are finalized.
First Funder is privately held and, according to the press release, has received angel investment from Joseph Zell, general partner with Grotech Ventures, among others.
Representatives of First Funder could not be immediately reached Friday.
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