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Last week, I wrote a post about the acute need for people of good will to use a diversity lens when Investing via regulated investment Crowdfunding. It is reasonable for you to wonder skeptically if $100 investments in Small Businesses make enough of a difference to justify the effort. Today, I’ll share why I think that even small investments matter.
As one who has worked in the capital markets for decades, I can assure you that every “yes” matters. Raising capital is hard work. It is an Exercise that many small business owners find foreign. They aren’t necessarily sales experts. The reality is that most requests for capital simply go unanswered. The answers they receive are more often “no” than “yes.” So, when an investment shows up, especially from an unexpected source, it is wonderfully encouraging to them. It gives them a boost to keep raising, getting ever closer to a critical funding goal.
Remember, too, that your investments aren’t made in a vacuum. You aren’t doing this alone. Across the country, countless people are already using a DEI lens as part of their impact crowdfunding strategy. Billions have been raised via regulated investment crowdfunding. About a third of that has been allocated to businesses with social impact or to support diverse founders–folks other than white men.
According to KingsCrowd, over 1,000 businesses with a social impact mission have already been funded! (Over 100 are raising right this minute!) Over 1,400 minority-owned businesses have successfully raised capital under regulated investment crowdfunding. Almost 150 are raising today! Almost 1,500 teams, including women founders or co-founders, have raised capital successfully. Another 135 are raising now. Dozens of companies with openly LGBTQ founders have raised, and others are raising now. (Keep in mind that many other members of the LGBTQ community have almost certainly raised but didn’t publicly point out their membership.) A genuine movement is building. You are part of that movement.
Still, the potential is infinitely larger. There are 33 million small businesses in the US. Almost half of those raise capital each year in one form or another–including the use of credit cards and personal savings. About 75 million people voted for the Black woman who ran for President of the United States in 2024. Millions who didn’t vote for her celebrate the need for individuals to better support diverse founders, even if they don’t support federal DEI mandates. For the sake of discussion, if just the 75 million people invested an average of $1,000 per year ($100 ten times), it would represent $75 billion of annual investment via impact crowdfunding. That would be about 2,000 times more than was invested that way in 2024.
When you invest in the public markets, the cash you invest almost always goes to another investor–most often an institutional investor. In contrast, when you invest in a small business directly via regulated investment crowdfunding, the business gets the Money directly. Then, it does something with it. It hires people. It grows. It pumps money into the local Economy. Estimates vary, but Sherwood Neiss of Crowdfund Capital Advisors has argued that the capital could expand up to tenfold. That would mean $75 billion of investment could drive three-quarters of a trillion dollars of economic Growth–largely in the small business segment of the economy. Could anything be more impactful?
Finally, let me point out that impact crowdfunding doesn’t take the place of other actions you may want to take. Vote! March! Protest! Donate! Do all of those things, but you can also invest. As an investor, your impact can be unending as you rotate your capital. You invest in a diverse founder, and the capital comes back to you. You do it again. And again! It makes you richer as it makes them richer. You even get the same kind of personal satisfaction you get when you hold the door for a stranger or donate to a cause. You feel good–for good reason.
It’s not about following me or the others in this space; it is about standing up at the front of the line to lead your community. I’m inviting you to be a leader, not a follower. I’m asking you to be an activist, not a bystander! Invest today and help lead the movement. Be part of the avant-garde—the bold leaders shaping the future of Finance and social impact.
Our generous sponsors make our work possible, serving impact investors, social entrepreneurs, community builders and diverse founders. Today’s advertisers include FundingHope, the American Independent Business Alliance, Crowdfunding Made Simple and SuperCrowdLA. Learn more about advertising with us here.
The following Max-Impact Members provide valuable financial support:
Carol Fineagan, Independent Consultant | Lory Moore, Lory Moore Law | Marcia Brinton, High Desert Gear | Paul Lovejoy, Stakeholder Enterprise | Pearl Wright, Global Changemaker | Ralf Mandt, Next Pitch | Scott Thorpe, Philanthropist | Matthew Mead, Hempitecture | Michael Pratt, Qnetic | Add Your Name Here
If a location is not noted, the events below are virtual.
Impact Cherub Club Meeting hosted by The Super Crowd, Inc., a public benefit corporation, on April 15, 2025, at 1:00 PM Eastern. Each month, the Club meets to review new offerings for investment consideration and to conduct due diligence on previously screened deals. To join the Impact Cherub Club, become an Impact Member of the SuperCrowd.
SuperCrowdHour, April 16, 2025, at 1:00 PM Eastern. Gene Massey, Chairman/CEO of MediaShares, will lead a session on “Secrets For Creating Great Content To Attract Investors.” He’ll share expert insights on crafting compelling content that engages and converts potential investors. Whether you’re launching a crowdfunding campaign or looking to enhance your storytelling strategy, this session is a must-attend! Don’t miss it!
SuperCrowdLA: we’re going to be live in Santa Monica, California, May 1-3. Plan to join us for a major, in-person event focused on scaling impact. Sponsored by Digital Niche Agency, ProActive Real Estate and others. This will be a can’t-miss event. Has your business been impacted by the recent fires? Apply now for a chance to receive one of 10 free tickets to SuperCrowdLA on May 2nd and 3rd and gain the tools to rebuild and grow!
SuperCrowd25, August 21st and 22nd: This two-day virtual event is an annual tradition but with big upgrades for 2025! We’ll be Streaming live across the web and on TV via e360tv. Soon, we’ll open a process for nominating speakers. Check back!
Successful Funding with Karl Dakin, Tuesdays at 10:00 AM ET – Click on Events.
Igniting Community Capital to Build Outdoor Recreation Communities, Crowdfund Better, Thursdays, March 20 & 27, April 3 & 10, 2025, at 1:00 PM ET.
Asheville Neighborhood Economics, April 1-2, 2-25.
Regulated Investment Crowdfunding Summit 2025, Crowdfunding Professional Association, Washington DC, October 21-22, 2025.
Please show your support for a tax credit for investments made via Regulation Crowdfunding, benefitting both the investors and the small businesses that receive the investments. Learn more here.
If you would like to submit an event for us to share with the 9,000+ changemakers, investors and entrepreneurs who are members of the SuperCrowd, click here.
Originally Published on https://www.superpowers4good.com/
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