Dr. Nasser Saidi talks about how SMEs can expand by crowd investing. It allows investors to invest directly into a company without going through financial intermediaries.
Crowd Investing is a form of democratic capitalism with a community that can support young entrepreneurs and businesses rather than anonymous investors. The goal is to make it easier for entrepreneurs to raise money and create jobs, while giving small investors an early chance at latching onto the next successful start-up.
The concept of crowding investing goes back to grassroots. With banks not lending globally, it now means SMEs and young entrepreneurs can try to raise funds directly from the public at large.
“The difference between crowd funding and crowd investing is essentially that crowd funding is a form of donation while crowd investment means that an investor can own a slice of the company.”