A slower economy is an opportunity, not a challenge

— Investment tips | Other — 2 minutes read


Over the last ten years the economy in Europe has fluctuated, with varying unemployment, low interest rates and changing growth figures. So, does crowdfunding work in times of economic stagnation or regression? That’s a question we believe we can answer: yes! 
In fact, crowdfunding is imperative to support businesses in times where loans are less available. Businesses can reach out to the crowd to grow, collecting funds from a group of investors rather than competing for funds from only one main investor. 

When the going gets tough, the tough get going. Numerous startups were founded when the founder members had to push themselves out of their comfort zones. They turned the challenges into opportunities. The climate for entrepreneurs in Europe is changing for the better, and here’s why:

Portfolios are changing

 
Today, a wise investment portfolio no longer focuses on one industry or on purely low-risk opportunities. An economic crisis can highlight how investing in any industry is risky, which, in turn, changes the approach to alternative investments: they’re not so unusual anymore. Today diversifying your portfolio by investing in various industries or products can seriously lower your risks.

Government is on your side

 
The startup tax shelter specifically aims to stimulate investment in early-stage businesses by providing incentives for investors. The Belgian government offers a tax credit for those who participate in supporting entrepreneurship, which, in turn, helps create jobs and grow the economy. We wrote an interesting ebook on the subject. You can download it from our dedicated mini website.

Different and new is better

 
Today, regular is boring! People are looking for something new, different, the next big thing. They don’t mind trying something they haven’t done before, and aren’t as scared of change like before. Innovation is a positive force on society, and entrepreneurs as well as crowdfunding stand to benefit from this. Investing online is no longer unusual! There’s no better time for startups to START.

Traditional investment is losing ground

 
Traditional investments like bank deposits, bonds, and stocks are no longer the sure-thing they used to be. This is an opportunity for alternative investments, like crowdfunding to attract support from investors who wish to diversify their portfolio by investing, for example, in local businesses. And, it’s not only investment but also alternative lending that is attracting more people. The investor community is getting stronger and more interested in supporting startups and new ventures. 

In the end, the fact remains that Europe is facing financial turmoil and slowdown. The naysayers can find hundreds of excuses to not to take a chance. However, if you have a disruptive idea that you think can make an impact and change the world for the better, don’t hesitate and take a leap of faith.

If you wish to raise funds for your promising startup or if you simply want to invest in a company that you believe in, visit our website and discover our interesting opportunities.