Brief history of Crowdfunding

This infographic by GPlus presents a brief history of crowdfunding. Crowdfunding, as the name suggests, is the idea of using capital (funding) raised from the public (crowd) to support private firms. The SEC has recently introduced a Crowdfunding bill, which will make crowdfunding easier and more regularized for entrepreneurs.


INFOGRAPHIC: Drawing a Crowd: The Crowdfunding Phenomenon Heats Up

Image via GPlus


See the original image here and read more at Crowdfunding: Where it has been and where the new bill is taking it (infographic) | VentureBeat.

Lessons from Second Life applied to Real Life

Philip Rosedale, the founder of Second Life (SL) has a new Real Life (RL) venture. ‘Coffee & Power’ is a marketplace of small tasks and applies several lessons Rosedale learnt at SL. It allows people to offer their services towards small tasks (like shopping for groceries) that may not be related to their RL jobs and job associated skills.

Virtual reality - Second Life

Image via Wikipedia

What made Second Life attractive to users, he explains, is that people are able to create value from each other and use skills and capabilities in novel ways in the virtual world. Rosedale wanted to translate this to real life.

Coffee & Power also adopts the SL monetization model – it has a virtual currency for user-to-user transactions and Coffee & Power takes a 15% cut when users convert the virtual currency into real dollars. [SL on the other hand takes a 3.5% cut on inbound and outbound transactions.] However, unlike SL, where Linden Dollars have a floating exchange rate, Coffee Dollars have a fixed rate of 1$.

Another twist is that Coffee & Power does not let people transact in U.S. dollars. As with Second Life, all missions are conducted in a virtual currency.

Coffee & Power will charge people 15 percent to cash out whatever they earn, which in turn will encourage people to keep the money on the network and spend it on other items in the community.

The virtual currency on the site is called coffee dollars, and $1 equals $1 real dollar.

Finally, like many entrepreneurs in SL, Coffee & Power has minimized fixed costs and is running a ‘temporary company’ strategy by tapping the power of scores of developers available online.

It has three founders and one full-time employee, and has gotten most of the development work accomplished through hiring software developers online.

Basically, Coffee & Power is providing a shared space ,both virtual and physical, where people can meet and do small, interesting jobs for each other, Rosedale explains.

Read more at Second Life Founder Tries Bringing the Virtual World to Real Life – Tricia Duryee – Commerce – AllThingsD and Second Life Founder Launches Coffee & Power, A Jeff Bezos-Backed Marketplace For Skill-Based Jobs | TechCrunch.

Startup Funding Infographic

This great infographic by Mashable showcases several startup funding facts – different types of funding, the US trend of reducing number of VC funds and venture capital over the past 5 years, and major done & upcoming tech IPOs of 2011.

Image via Mashable

See the original at Startup Funding by the Numbers [INFOGRAPHIC].

Accel Invests In Mark Mobius-backed Financial Training Firm Pristine | VCCircle

VCCircle reports Accel investment in Pristine. Congratulations once again!

Accel Invests In Mark Mobius-backed Financial Training Firm Pristine | VCCircle.

Pristine Careers, a financial training firm for certifications like CFA, has raised an undisclosed sum from early-stage venture capital investor Accel Partners in its series A round. Neev Knowledge Management, which runs Pristine Careers, has been founded by former investment bankers and private equity professionals in 2007.

The company’s co-founders include Atul Kumar (ex-Reliance Capital private equity), Paramdeep Singh (ex-Standard Chartered Capital Markets and Accenture), Pawan Prabhat (ex-CRISIL and Standard Chartered Capital Markets) and Sarita Chand (ex-Goldman Sachs and Aditya Birla Group).