Dogfooding — where a company demonstrates confidence in its own products by using them — has been common at big tech companies for some time. For instance, Google, Apple and Microsoft all have measures in place to encourage employees to use their own products, making sure that employees have first-hand view of customers’ concerns.
Today, FundedByMe will be treading the same route as it seeks to raise 3 million Swedish Krona (nearly US$470,00) through a crowdfunding campaign on its own site. As an equity crowdfunding platform that allows people to invest in companies in exchange for shares in them, FundedbyMe will be offering shares of itself.
Daniel Daboczy, Co-founder and CEO said that this crowdfunding round will provide the impetus for FundedByMe to take on the investment market. “We see that this is only the beginning and aim at taking an even bigger stake out of the investment market,” he added, “Our strategy to do this is by growing fast, always developing and making sure that trust, quality and transparency follow every step we take.”
This round will serve to support FundedByMe’s further expansion and product development. One of the new programmes FundedByMe will be developing is a crowd lending service — starting with profit-participating loans in Germany and soon adding peer-to-company lending and convertible lending to Sweden, followed by its other markets.
That said, Daboczy cautioned that all investments carry risks, including this one. “Investing in startup and early stage businesses has a high risk,” he said, “Majority of startups fail or do not deliver shareholders a return on their investment. It is important for investors to be very clear about the risks and not only talk about the up side; they need to understand these risks and make their own well-considered investment decisions.”
FundedByMe’s crowdfunding round will commence today, March 18, 11PM SGT. Visit its funding page after the aforementioned time if you’re interested to own a piece of a company that has helped many businesses and ideas raise money and grow!