While crowdfunding can be used to finance anything, from life saving health treatment to a tour for an up and coming musician, startups are specific. As the name suggests you are investing in companies, or individuals, who are trying to get a project started. It might be a mobile app, the latest innovation or a new service. You can choose to lend money, just like you would in crowdfunding, or you can also opt for equity (buy a piece of the company).
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