There has been a lot of recent buzz about both crowdfunding and clean energy. Crowdfunding as the way startups are created in the near future and clean energy as the sustainable method for perpetual energy sufficiency. When brought together, these two could create powerful momentum, which would propel clean energy forward much faster than we have seen it today.
Clean Energy Needs a LOT of outside support
A lot of clean energy technologies require external financial support in order to be economically viable. Previously, the government has had a heavy hand in supporting clean energy with tax incentives, cash grants, etc; which have in turn provided sufficient economic return for many investors to take the leap into clean energy. As the tides of government support have shifted the other way, the question arises as to how clean energy will continue to grow and survive. Most likely by investors that are more interested in developing sustainable clean energies as their number one priority with financial returns being their second. Enter the world of crowdinvestors.
Clean Energy is Inherently a Socialized Investment
Tax incentives and payments from the government came from taxpayer money, so even now we have seen that clean energy investments are a crowdfunded activity. Now with equity crowdfunding we have the opportunity to link clean energy companies directly with investors. We aren’t only funding the roof over our heads, but rather making a collective investment in energy sustainability by equity crowdfunding.
Crowdinvestors can Share the Risk
The word of the day for professional investors is risk-weighted returns and justly so. Making sufficient financial returns is their job and bread and butter, without which their fund or company would cease to be in existence. However, with crowdfunding investors, we can all take a small sliver of risk, and when successful, will yield us both an awesome new technology, but also a nice financial windfall. When we can share the risk and collectively agree to propel something forward it’s only inevitable that we see exciting new technologies being developed faster and pushed out for our everyday use.
Clean Energy is an investment for Now and the Future
Many crowdfunders will want to invest in things with which they have a personal connection and has a greater impact than just purely financial returns. Clean energy is ensuring a cleaner future for the next generation while ensuring that we are living by responsible standards today. Everyone’s invested!
As crowdfunding regulations draw closer, we are all excited to see the jumpstart of clean energy startups and technological advancements. Once everyone gets involved, we are sure to see exciting and innovative developments in this field, taking us one step closer to a zero emission global community.
Sang Lee is the CEO of Return on Change (www.returnonchange.com), an equity crowdfunding helping high impact startups that are bent on changing the world. He’s looking to change the world one big thinker at a time and he shares his thoughts@rocspeaks.