Bitcoin Forum

Alternate cryptocurrencies => Altcoin Discussion => Topic started by: Jazz1993 on April 05, 2018, 09:09:26 AM



Title: Fund raising through an ICO
Post by: Jazz1993 on April 05, 2018, 09:09:26 AM
Is it possible for a company to raise funds through an ICO even if it is not a startup?  ???  For example: Say company X manufactures chocolates but now it wants to further expand its operations and needs funds for it, can it opt for ICO instead of a Private Equity fund or a Bank Debt?
Please help I am a complete newbie and this concept is confusing me a lot  ::)
Thanks


Title: Re: Fund raising through an ICO
Post by: l4w on April 05, 2018, 10:19:15 AM
ICO stands for Initial coin offering, so it's only feasible if you're creating a new coin or payout coins from the dev wallet.

It is possible to raise funds for an ICO as an already existing company, yes.


Title: Re: Fund raising through an ICO
Post by: Harlequill32 on April 05, 2018, 10:24:03 AM
I think it can. If you can establish a good relation with your product and the coin your offering, you can actually pull off to raise some funds. Still it depends on the project if its marketable enough or not.


Title: Re: Fund raising through an ICO
Post by: Jazz1993 on April 05, 2018, 10:35:50 AM
Thanks a lot. But is it possible for a brick and mortar industry like in the given example? Because whatever information I could gather from the internet, most of the companies were into making apps onto blockchain platforms


Title: Re: Fund raising through an ICO
Post by: target on April 05, 2018, 11:03:49 AM


I think there were already exiting companies doing these already I just can't remember which company was it. Its going to be a wise decision to join into the blockchain.

Thanks a lot. But is it possible for a brick and mortar industry like in the given example? Because whatever information I could gather from the internet, most of the companies were into making apps onto blockchain platforms

If Zrcoin were doing good already, I don't see any reason why yours wouldn't be.  It will only depend to how your team and your company handle the business.


Title: Re: Fund raising through an ICO
Post by: Jazz1993 on April 05, 2018, 11:40:00 AM
Great help thanks  ;D


Title: Re: Fund raising through an ICO
Post by: Danstan on April 05, 2018, 02:16:29 PM

Raising capital or creating more funds for you business using an ICO is an extravagant way to do it. It may cost you for the additional team you may need like technical expertise, bird's eye view for regulatory compliances, and also expansion for your offices.

Companies need to adopt what is the current trend happening to their sorrounding in order also for them to survice!



Title: Re: Fund raising through an ICO
Post by: vudeptraihpv on April 05, 2018, 02:27:54 PM
Is it possible for a company to raise funds through an ICO even if it is not a startup?  ???  For example: Say company X manufactures chocolates but now it wants to further expand its operations and needs funds for it, can it opt for ICO instead of a Private Equity fund or a Bank Debt?
Please help I am a complete newbie and this concept is confusing me a lot  ::)
Thanks
I think it's a good idea!!!
That is also an interesting way to promote ICO and Bitcoin as well.

•   HOW TO GET FUNDING FOR YOUR BUSINESS USING AN ICO
If you have an idea for a business or are trying to expand your small startup, it’s a challenge to get funding. A new trend in blockchain technology allows companies to pre-sell access to services as a way to fund the development of those services. Companies create a token that grants the holder access to products, services, or subscriptions from the new startup. The initial coin offering (ICO) allows startups to sell those tokens before the company launches, as a means of fundraising. This means startup companies can raise large amounts of seed capital from individual investors, democratizing startup funding.

An ICO can be an extremely effective way to raise capital for your business. However, it involves a fair amount of community building, technical expertise, and foresight about regulatory compliance. If you’re willing to take on these challenges, the payoff can be significant. Not just in raising funds, but also in establishing a community of supporters around your idea.

Full disclosure: draglet is a blockchain development company with expertise in building and launching ICOs for startups. We believe the ICO fundraising model is an important development in the future of early stage fundraising. However, we also believe that ICOs are not right for every business. This article will help you decide whether an ICO is right for yours.

Contents
1  The Fundraising Landscape: Crowdfunding, Venture Capital, Loans, etc.
2  A New Way to Get Funding: How an ICO Works
3  Criticism of ICOs
4  What About Regulation?
5  Getting Started with Your ICO

1. The Fundraising Landscape: Crowdfunding, Venture Capital, Loans, etc.
There are many ways a business can get funding. Each method has its own pros and cons. For many businesses, traditional fundraising methods will work well. In this section we’ll look at traditional fundraising streams and evaluate their effectiveness.

a) Institutional Loan
This method is the most popular with small businesses that will generate a small but predictable return. Getting a loan from a bank or credit company is fairly straightforward. However, it requires a significant amount of paperwork and proof of previous cash flow. This is an advantage if your business has years of accounting records on file. For most startups with no previous cashflow, it’s a struggle to get approved for institutional loans. Or, you may be approved, but only for a very small loan.

Some founders take out personal loans or borrow against personal assets like their home. While there’s nothing wrong with bootstrapping a company in this way, it’s very risky. You assume personal liability for the company’s success. If you fail to pay the personal loan, your assets could be seized. This makes loans a challenge for any entrepreneur with big ideas that could fail.

b) Venture Capital, Angel Investors, & BDCs
The big companies in Silicon Valley were built on venture capital. But they’re not alone. A large proportion of companies around the world get their startup funding from some type of private investor. Getting seed capital from angel investors has become standard practice for startups. The benefit is you could receive a lot of money if you have a good idea.

The drawback is it takes a while to meet, warm up, and pitch investors. Then, investors can take a lot of time doing due diligence. Investors will investigate everything about your company: founders, idea, business model, revenue/expenses to date, and outside expert opinions. They don’t want to lose money on the investment, so you’ll need an airtight idea with little competition and everything in place to execute on the idea. Investors also usually look for equity in the company. This means you’ll have to give up some ownership and control over your company before it ever gets off the ground.

A similar alternative to venture capital are business development companies (BDCs). BDCs are publicly-traded companies that make investments in small to medium-sized private companies. A BDC is basically a managed mutual fund with many backers, and they choose businesses to back in a similar way to venture capital. BDCs tend to make many small investments, however, meaning you won’t receive a large payout. You’ll still have to give up equity in the company in exchange for a BDC’s backing.

c) Partnerships

Partnerships
You could try to pair up with an existing company to implement your idea. Developing a good partnership is challenging, though. You’ll spend a lot of time cultivating and pitching potential partners. Then, those potential partners will want to know a lot of details about your idea before signing a contract with you. If you give them enough detail, the potential partner could steal your idea.

Having a partner with existing infrastructure, cash flow, and capital seems like an ideal situation. However, it’s challenging to find such an opportunity. In the end, you risk losing your idea.

d) Crowdfunding

An exciting trend in early stage funding is crowdfunding, like Kickstarter or Indiegogo. Crowdfunding campaigns can build a great audience for your product alongside the funding that audience provides. This means you’ll have a built-in community of invested fans from day one once you launch.

The challenge with crowdfunding is managing the crowd. You’ll have to mail out perks and rewards for the funding. Crowdfunding campaigns can raise a significant amount of money, but if you’ve got a big idea they won’t help you raise tens of millions of dollars to execute it.

e) Toward a Different Type of Fundraising

Traditional business fundraising practices involve a lot of institutions and paperwork. If you’re starting a new business from scratch, chances are you’ll struggle to find early funding. The institutions that provide business funding are designed to avoid risk. That mission of avoiding risk makes sense in theory, protecting the investing institution. However, in practice it means that many new and different ideas never get funding.

Even crowdfunding, the darling of risky big ideas, has its limitations. What we need is a type of crowdfunding on steroids. A way to raise significant capital, build a community around an idea, and automate the process of rewarding backers. Enter the ICO…

2. A New Way to Get Funding: How an ICO Works
How an ICO works
An ICO is a type of crowdsale. In an ICO, the startup creates digital tokens that it sells to participants in a crowdsale, usually in exchange for a cryptocurrency like Ethereum or Bitcoin. Once the startup hits its fundraising goal, the tokens are automatically distributed to the participants in the sale. If the company doesn’t hit its goal, however, the participants receive their funds back.

a) Ensuring Utility

The purpose of the new token varies for every startup that runs an ICO. However, the token should have some utility within the new company. This means that the crowdsale participant will be able to use the token in the future to buy products, gain access to features, or otherwise transact with the startup. The new tokens are not shares. Crowdsale participants don’t receive equity in the new company.

ICOs run on the blockchain. They use blockchain technology to secure the digital tokens, preventing forgery and double spending. While still relatively new, ICOs have become wildly popular. In 2017, ICOs generated more funding for startups than early and seed venture capital. Startups have earned hundreds of millions of dollars in a matter of hours through ICOs. The new fundraising mechanism has become so effective that Indiegogo is now getting involved in ICO creation.

b) Exchanging Tokens

After the ICO, most companies choose to list their newly created tokens on any number of cryptocurrency exchanges. This allows more people to buy and trade the token, creating a demand for the product you’re building.

If your ICO included a reserve of tokens set aside for development, listing your token on exchanges could make your token more valuable, increasing the value of your development fund.

3. Criticism of ICOs
ICOs have the potential to raise your company tens or hundreds of millions of dollars. They also include a community of enthusiastic token holders after your ICO who are excited for the growth of your company. However, the ICO is not without its drawbacks.

a) Technical Expertise

Executing an ICO requires significant technical expertise. Developers need to set up the blockchain for your new token. They’ll also have to program the rules for accepting Bitcoin or Ethereum, counting up the total funds received, and distributing the new token once the fundraising goal is met. Keeping all those funds secure and separate requires specific knowledge of creating an ICO. That knowledge is still fairly limited in the number of developers who can properly execute a safe ICO.

b) Perception of ICOs as Risky

ico scam
Another challenge is investors are contributing funds to a product that doesn’t actually exist yet. Until you build a platform where the token can be used, the token is virtually worthless. Venture capitalists are comfortable with the idea that an investment may go to zero, and they do extensive due diligence on the team, idea, and overall market as a result. However, ICO participants tend to feel less secure. Many do little due diligence before backing a project. As a result, there are lots of scams in the ICO space. On top of the scams, anecdotal evidence suggests that, in the majority of cases, companies aren’t actually building the products they promised after an ICO

If you’re looking for institutional legitimacy for your company, this can be a big drawback. There’s a perception problem for ICOs, since they’ve established a reputation of harboring a fair number of fraudulent tokens. Of course, good companies with great intentions can execute an ICO. Many have. However, most companies looking for legitimacy choose to stay away from ICOs for now

c) The ICO Bubble

ICOs generally are also facing an economic challenge. They’re currently in a bubble. It seems most ICOs, regardless of idea or team behind them, raise money and appreciate in value after the launch. While this may seem like great news for your startup, since it’s likely to get funded, the challenge comes from the volatility of a bubble driven market. The value of your token can fluctuate wildly, and it will often change for seemingly no reason. Bull runs and bear panics are common, and tokens can take wild swings in value over the course of just a few hours.

4. What About Regulation?
ICO regulation
If you’ve heard anything about ICOs before reading this article, chances are you’ve encountered the ICO regulation debate. With so many scam tokens and such a volatile market, it’s likely that securities regulators around the world will step in to crack down on ICOs. At draglet, we believe smart regulation could be a good thing for the ICO ecosystem. It would make the market less volatile. It would also decrease the number of scam ICOs and increase the legitimacy of ICOs as a fundraising mechanism.

The key distinction, according to US and EU regulators, is whether the token you sell is an asset that participants hope will go up in value. If so, then you’re selling a security, and you’re subject to all the laws and regulations that govern the stock markets. However, if you’re selling a utility token that customers can use to interact with your company, then your ICO is simply a crowd presale of those tokens.

In order for your ICO to be compliant, you’ll need a compelling use case for digital tokens within your company.

5. Getting Started with Your ICO
getting started with ICOs
Launching an ICO requires foresight. You’ll need to plan out your timeline and roadmap for your company. Then, you’ll need to clarify the details of your company and its products and services. These details will go into a white paper for the participants in your crowdsale to review. Generating buzz around your ICO also takes work. You’ll need to think about PR and advertising to get your name out there in the crowded ICO marketplace.

You’ll also need to engage a developer who has experience building ICOs. The best developers will have experience helping with the whole ICO process, including getting your new token listed on cryptocurrency exchanges. draglet has extensive experience setting up ICOs and managing the technical aspects of a crowdsale, if you need help with this.

ICOs have incredible potential for launching bold new ideas. Some projects have raised hundreds of millions of dollars in 2017, building a strong foundation for future growth. Along with the funding comes an active community of individual investors. They’ll share your product after launch and generate buzz around your company. Not every company needs an ICO. But for those companies where it makes sense, an ICO is one of the most effective ways to get funding for your new business or startup.


Title: Re: Fund raising through an ICO
Post by: Sadlife on April 06, 2018, 04:58:17 AM
ICO's can possibly use to fund an existing company, if they created a new token after all ICO means initial coin offerings. As long as the commodity that your selling is marketable you can easily merge the two products to gain profit and to raise funds.


Title: Re: Fund raising through an ICO
Post by: krishnapramod on April 06, 2018, 06:16:35 AM
ICO's aren't limited to startups raising funds for unfinished products. Well-established revenue generating companies like Kik, Telegram, Overstock, Kodak etc are looking to expand their existing business/userbase by tokenizing it. Brick and mortar business, revenue generating, good track record, need additional capital to expand business, no bank loans, ICO can be used to raise capital. Existing companies are getting into ICOs not only to raise capital, but also to integrate Blockchain technology into their business model.


Title: Re: Fund raising through an ICO
Post by: Nahl on April 06, 2018, 06:40:58 AM
the companies made ICO projects to aiming fund raising for their companies then i think this possible to do so as long as they have good projects and the investors and the companies can take benefit each other but indeed it all still depend on which countries they come from because the companies can't do that if running ICO project against the law


Title: Re: Fund raising through an ICO
Post by: b3llsf1l3s on April 06, 2018, 11:36:14 PM
Is it possible for a company to raise funds through an ICO even if it is not a startup?  ???  For example: Say company X manufactures chocolates but now it wants to further expand its operations and needs funds for it, can it opt for ICO instead of a Private Equity fund or a Bank Debt?
Please help I am a complete newbie and this concept is confusing me a lot  ::)
Thanks

That is can be realized, but one thing to make that happen is the "Company X" should bring a trust from investor. Too much scam ico over last 2 months. And i think those scam ico have same method with some fund raising like this


Title: Re: Fund raising through an ICO
Post by: sunsilk on April 07, 2018, 12:57:35 AM
Is it possible for a company to raise funds through an ICO even if it is not a startup?  ???  For example: Say company X manufactures chocolates but now it wants to further expand its operations and needs funds for it, can it opt for ICO instead of a Private Equity fund or a Bank Debt?
Please help I am a complete newbie and this concept is confusing me a lot  ::)
Thanks
This is why most of the companies listed on a country's stock exchange is doing this thing, they want to expand their business so they are doing fund raising such as sharing stocks to their company.

And by doing an ICO it's possible to gather funds from different investors that are believing their company.

But if a legit company do this, I'm having doubts that they are going to expand. Most of the companies will just look to ICO as profiting power.


Title: Re: Fund raising through an ICO
Post by: richminded on April 07, 2018, 03:35:00 AM
Yes its possible some ICO's are already have their products/services before their conduct an ICO and I think its good to do this thing if your business is good. ICO is really meant for this thing, aside from putting an imagination business, I believe more investors will come if there's a business already.


Title: Re: Fund raising through an ICO
Post by: palle11 on April 07, 2018, 08:46:48 AM
Is it possible for a company to raise funds through an ICO even if it is not a startup?  ???  For example: Say company X manufactures chocolates but now it wants to further expand its operations and needs funds for it, can it opt for ICO instead of a Private Equity fund or a Bank Debt?
Please help I am a complete newbie and this concept is confusing me a lot  ::)
Thanks

The situation I'm sure is possible in establishing a company. For instance, if the start up capital for the company (depending on whether it is a private or public limited liability company) isn't enough along the line of raising and running the initial start up, the company can apply to the appropriate agency to sell more shares to the public or the company can raise a debenture. This is particularly for a public company.

So I don't think this will be possible for cryptocurrency because it seem different.


Title: Re: Fund raising through an ICO
Post by: Grayy on April 07, 2018, 08:12:20 PM
It is possible. After creating the coin for such a company and deciding on which blockchain to adopt, people who invest in the coin can have shares depending on the amount of that particular coin they owe. If the company has achieves much success with their project , demand for their coin goes up and consequently prices go up too.


Title: Re: Fund raising through an ICO
Post by: batang_bitcoin on April 07, 2018, 08:19:31 PM
Yes it does. It is the main objectives why ICO's are being held and that is to collect proportion from the investors in order to support their project. And in exchange to the investors they are giving tokens as valuable for shares. Once their token is listed investors may claim their profit depending on the value of that company's token.


Title: Re: Fund raising through an ICO
Post by: Bitcoin-Turkiye on April 07, 2018, 10:18:28 PM
Is it possible for a company to raise funds through an ICO even if it is not a startup?  ???  For example: Say company X manufactures chocolates but now it wants to further expand its operations and needs funds for it, can it opt for ICO instead of a Private Equity fund or a Bank Debt?
Please help I am a complete newbie and this concept is confusing me a lot  ::)
Thanks

yes, if we see scam projects even collect money... In general.. icos are made targets and they try to collect money. when the targeted softcap or hardcap amount is reached,  they start to work...
but if they are not transparent,
how can we know?
what they are doing?



Title: Re: Fund raising through an ICO
Post by: 13abyknight on April 08, 2018, 05:20:41 AM
Indeed, any company can just start off an ICO rather than coming from a start up but most of them would just resort to stock issuance as it would be a better overall outreach. For most of the part, ICOs are always linked up with start ups as they need funding for the development of their project and it is much easier to raise funds through it rather than by other means.


Title: Re: Fund raising through an ICO
Post by: wxa7115 on April 08, 2018, 08:56:31 PM
Is it possible for a company to raise funds through an ICO even if it is not a startup?  ???  For example: Say company X manufactures chocolates but now it wants to further expand its operations and needs funds for it, can it opt for ICO instead of a Private Equity fund or a Bank Debt?
Please help I am a complete newbie and this concept is confusing me a lot  ::)
Thanks
It is possible but it is not going to be successful, you need to give a reason of why you want to create a coin and what will be the use of that coin so you can get money here in a forum dedicated to bitcoin and other cryptocurrencies, if your idea does not make sense then your ico is going to fail awfully and instead of getting money you are probably going to lose it.


Title: Re: Fund raising through an ICO
Post by: zero9119 on April 09, 2018, 01:36:17 AM
It is possible. After creating the coin for such a company and deciding on which blockchain to adopt, people who invest in the coin can have shares depending on the amount of that particular coin they owe. If the company has achieves much success with their project , demand for their coin goes up and consequently prices go up too.
If this happens, ICO investments will become safer and more efficient. I also participated in many ICO projects and I felt very interested in this idea. If there is an organization or type of fund to insure your ICO investments, it is great.


Title: Re: Fund raising through an ICO
Post by: yojodojo21 on April 09, 2018, 04:51:17 AM
Fund raising through an ICO is really Possible but the more investors you pull and be a part of that Project the more stock holders there will be, but if you are lacking money then that would be the way you must do in order for that project to run, but it is better into a certain group to have atleast founded their capital by their own money so that they will not be dependent to the investors, and that is why some ICO eventually doesn't succeed. depends also on marketing strategy.


Title: Re: Fund raising through an ICO
Post by: Lanatsa on April 09, 2018, 04:55:50 AM
Fund raising through an ICO is really Possible but the more investors you pull and be a part of that Project the more stock holders there will be, but if you are lacking money then that would be the way you must do in order for that project to run, but it is better into a certain group to have atleast founded their capital by their own money so that they will not be dependent to the investors, and that is why some ICO eventually doesn't succeed. depends also on marketing strategy.
Case to case basis if you do plan to make use of investors money or on your own money came from your own pocket.Sometimes or there are really instances where possible investors would understand such situation that you havent any start up amounts but will definitely depending if they do saw that your project or plan is really worth to invest on.Sometimes trust and potential profits and developments will matter.If they would able to see how good this thing is then they might able to invest without any hesitations.


Title: Re: Fund raising through an ICO
Post by: HPQ.IO on April 09, 2018, 04:56:13 AM
Is it possible for a company to raise funds through an ICO even if it is not a startup?  ???  For example: Say company X manufactures chocolates but now it wants to further expand its operations and needs funds for it, can it opt for ICO instead of a Private Equity fund or a Bank Debt?
Please help I am a complete newbie and this concept is confusing me a lot  ::)
Thanks

Yes, there are cases of successful fundraising via ICO for industrial projects (like zrcoin... And ours will join this list soon https://hpq.io  :)) and, moreover, if the company is not a startup and has some history it will be easier to raise because investors will feel more confident with existing business and proven business model and track records.


Title: Re: Fund raising through an ICO
Post by: tailwate07 on April 09, 2018, 06:03:17 AM
Yes its possible some ICO's are already have their products/services before their conduct an ICO and I think its good to do this thing if your business is good. ICO is really meant for this thing, aside from putting an imagination business, I believe more investors will come if there's a business already.
Fund raising and that too through ICO is indeed a very good idea and that this is something which can not only help you in having more money at the end but it will also help more number of people to know more about bitcoin and crypto currencies and that they will surely be able to have a chance of making some good earnings by participating in any of the campaign or by investing their money into ICO.


Title: Re: Fund raising through an ICO
Post by: Jazz1993 on April 09, 2018, 06:21:01 AM
Okay so if I go ahead with ICO I would prefer security tokens over utility tokens as utility tokens don't suit my business model. But do security tokens like conventional equity shares offer ownership in the company to the holders? and how will they be different from equity shares if I anyway have to comply with the SEC regulations?


Title: Re: Fund raising through an ICO
Post by: HPQ.IO on April 09, 2018, 06:25:54 AM
Okay so if I go ahead with ICO I would prefer security tokens over utility tokens as utility tokens don't suit my business model. But do security tokens like conventional equity shares offer ownership in the company to the holders? and how will they be different from equity shares if I anyway have to comply with the SEC regulations?

Well, here you do need a good lawyer and/or choose an ICO-friendly, flexible jurisdiction for your ICO. It is possible to find a really good scheme which will be 100% legal.


Title: Re: Fund raising through an ICO
Post by: Jazz1993 on April 09, 2018, 06:33:05 AM
But what about my other question? Do security tokens give ownership to the holders like equity shares?


Title: Re: Fund raising through an ICO
Post by: HPQ.IO on April 09, 2018, 06:36:40 AM
Okay so if I go ahead with ICO I would prefer security tokens over utility tokens as utility tokens don't suit my business model. But do security tokens like conventional equity shares offer ownership in the company to the holders? and how will they be different from equity shares if I anyway have to comply with the SEC regulations?

If you plan to give out some equity to backers you can have a holding company or one of shareholders / owners at ICO-friendly jurisdiction with easy (but still solid) shareholding relations. That company will have an ownership in your project and backers will have shares in that company.

If it is a buy-back scheme (where you sell the tokens/coins and later buy them back at a higher price) a good option is to have a different company for such ICO in suitable ICO-friendly jurisdiction. That company will collect the funds, provide a loan to your project, and after your project repays the loan and interest distributes the funds again via coins/tokens buy back.

You can also do this via main holding company in ICO-friendly jurisdiction directly, of course with all needed paperwork for compliance and to prevent any issues with banks and regulators.


Title: Re: Fund raising through an ICO
Post by: HPQ.IO on April 09, 2018, 06:37:45 AM
But what about my other question? Do security tokens give ownership to the holders like equity shares?

It depends on how well your paperwork is done and whether your jurisdiction considers it legal or not.


Title: Re: Fund raising through an ICO
Post by: moonblocks on April 10, 2018, 07:40:31 AM
ICO's are more for technology projects particularly blockchain based

You could try crowdfunding platforms like Kickstart or similar to raise funds for this sort of purpose


Title: Re: Fund raising through an ICO
Post by: gamalzour on April 10, 2018, 08:13:00 AM
Indeed, any company can just start off an ICO rather than coming from a start up but most of them would just resort to stock issuance as it would be a better overall outreach. For most of the part, ICOs are always linked up with start ups as they need funding for the development of their project and it is much easier to raise funds through it rather than by other means.
It all depends on how motivated you are and that how much knowledge you do have regarding the things related to bitcoin and the crypto currencies. In my opinion, investing in ICO is far more secure and beneficial than that of starting off an ICO. You need to be sure that you are doing the right thing and that you need to take guidance from the experts as well before making any final decision.


Title: Re: Fund raising through an ICO
Post by: wandino on April 10, 2018, 01:07:19 PM
It is entirely possible to do an ICO. Keep in mind that users should have some return on their investment i.e your token/coin If you're able to convince that part, then go right ahead


Title: Re: Fund raising through an ICO
Post by: the13thsymphony on April 10, 2018, 01:43:48 PM
If the goal of the company is to have a platform and form of payment for their product then yes ICOs are a great way to raise funds. However the company must adhere to what they have promised in their whitepaper and road map, because ICOs are intended to have a decentralized platform with the use of a token/altcoin in exchange for their products. So in case that the company is just raising funds to save their company then the investors in the ICOs will just badmouth it and the ICO will not push through.


Title: Re: Fund raising through an ICO
Post by: tienigarazz on April 10, 2018, 01:49:17 PM
It is a good idea to create an Fund raising through ICO. But you need to become expert in crypto first.
Because all your decision will affect the performance of your ICO and it should be attractable, so that all investors will invest on your project.
Creating an ICO is not that simple, so always think twice or thrice before making any move.


Title: Re: Fund raising through an ICO
Post by: Ivo2012 on April 10, 2018, 04:56:04 PM
There are too many shitty ICO's by "companies" (often they only have an idea in the form of a whitepaper and a team) that don't really need a token but just want to jump on the blockchain/ICO bandwagon.

I think a company should only do an ICO if they really need a token and blockchain, not just as an easy way of funding an idea.


Title: Re: Fund raising through an ICO
Post by: gunhell16 on April 10, 2018, 07:24:05 PM
Is it possible for a company to raise funds through an ICO even if it is not a startup?  ???  For example: Say company X manufactures chocolates but now it wants to further expand its operations and needs funds for it, can it opt for ICO instead of a Private Equity fund or a Bank Debt?
Please help I am a complete newbie and this concept is confusing me a lot  ::)
Thanks

It CAN, this is what really ICO (INITIAL COIN OFFERING) do to businesses.
they are launching their own coins or tokens to have fundraising and get into a good business.
But of course you need to dish it out and make it a better platform to do for the people have interest in your future business.


Title: Re: Fund raising through an ICO
Post by: tabas on April 10, 2018, 07:38:50 PM
Is it possible for a company to raise funds through an ICO even if it is not a startup? 
Yes it is very possible. ICO's main objective is to raise funds through it.
Please help I am a complete newbie and this concept is confusing me a lot  ::)
It doesn't matter if you are a newbie or not. What are you planning? Are you going to start your own ICO very soon?


Title: Re: Fund raising through an ICO
Post by: entrepmind23 on April 11, 2018, 02:52:09 AM
Is it possible for a company to raise funds through an ICO even if it is not a startup?  ???  For example: Say company X manufactures chocolates but now it wants to further expand its operations and needs funds for it, can it opt for ICO instead of a Private Equity fund or a Bank Debt?
Please help I am a complete newbie and this concept is confusing me a lot  ::)
Thanks

Yes it is possible that an already established company can just launch an ICO to raise funds. It is even possible for an individual that have no existing business before to launch an ICO so what more for an already existing company. It would even attract more attention to the investors especially if that company is already reputable. Some example of these companies are telegram and Kodak. More information in this article https://blog.icofunding.com/meet-a-new-generation-of-icos-launched-by-existing-companies-4-examples-1e15ab3af422

They are already established company but still they launch an ICO. They may want to expand their operations as what you mentioned and wanted to integrate blockchain technology as well. There may be a few companies now but as time goes by, more traditional companies would transition to blockchain technology as they see the importance of it in their business operations.


Title: Re: Fund raising through an ICO
Post by: oombobie on April 11, 2018, 04:21:05 AM
In order to have a successful ICO you need to create token or coin, have a website for ICO, whitepaper or business plan and a lot of marketing activities (bounty campaign, twitter, facebook, youtube, telegram, etc) to draw traffic to your website.

These things cost money, time and effort. Please do some research first and calculate carefully how much capital you need to have an ICO.

If you could come up with the capital needed for ICO, think again. Would you invest that kind of capital into ICO or use it directly to expand your existing business?

And please be cautious while thinking about it.


Title: Re: Fund raising through an ICO
Post by: tuikindu on April 11, 2018, 06:09:20 AM
It's a great idea that any company can start with ICO rather than starting a business.

They need money to develop their projects, and it is easier to raise money through it than through other means.


Title: Re: Fund raising through an ICO
Post by: Nhor1011 on April 11, 2018, 06:16:39 AM
Is it possible for a company to raise funds through an ICO even if it is not a startup?  ???  For example: Say company X manufactures chocolates but now it wants to further expand its operations and needs funds for it, can it opt for ICO instead of a Private Equity fund or a Bank Debt?
Please help I am a complete newbie and this concept is confusing me a lot  ::)
Thanks

      I think it is possible to raise funds through ICO specially if the coin are acceptable to the market and the project become successful. It more easy and you can raise more than enough funds than a  private equity fund.


Title: Re: Fund raising through an ICO
Post by: vanhao113 on April 11, 2018, 11:56:00 AM
Is it possible for a company to raise funds through an ICO even if it is not a startup?  ???  For example: Say company X manufactures chocolates but now it wants to further expand its operations and needs funds for it, can it opt for ICO instead of a Private Equity fund or a Bank Debt?
Please help I am a complete newbie and this concept is confusing me a lot  ::)
Thanks

ICO Merculet

ICO DETAILS

MVP notation
Type: ERC 20
Hardcap: 31000 ETH
ICO 1 ETH = 87500 MVP (bonus with 20% bonus)
Total supply: $ 10 billion
Distribution: 35% for development funds, 15% for marketing, 30% for ICO, 20% for development teams and consultants.

DEVELOP TEAM

Overall, the 10-member development team has a wealth of experience from large companies such as HP, EMC, SAP. Some of the prominent members in the development team are.

Ivan Jiang, project lead, led by Hewlett-Packard HP China, HP Silicon Valley, SAP chief engineer, SAP Cloud acceleration
Shen Jun Zhang, CTO of the project has more than 12 years of experience in the field of information technology, wall work for many large companies in the world such as HP, SAP, EMC. Currently CTO of Magic Windown, in charge of developing services on the phone
Jerry Gao, CPO of the project has more than 10 years of experience in the design of interfaces for telephony products, served as Data Solution Solution Consultant Vivaki


Title: Re: Fund raising through an ICO
Post by: LUGHUL on April 12, 2018, 04:44:27 AM
ICO stands for Initial Coin Offering. So, before the chocolate company was to raise an ICO project then the first thing they did was to make a token. and the token benefits are not just for creating ICO projects but they can also be used to buy chocolate in the chocolate company.


Title: Re: Fund raising through an ICO
Post by: Ashimwe on April 12, 2018, 04:56:05 AM
I think it can...............seen many ICO's who were scam with no product raise millions of money, but it would be better if it adopts blockchain tech and prints coins that will be used in some use in the particular field it is, that's how you pay back investors


Title: Re: Fund raising through an ICO
Post by: wxa7115 on April 17, 2018, 10:36:46 PM
It's a great idea that any company can start with ICO rather than starting a business.

They need money to develop their projects, and it is easier to raise money through it than through other means.
This kind of thinking is why governments are regulating icos, many people instead of creating their own businesses or trying to develop their projects on their own are just starting icos trying to get as much money as they want and then run away with it, and while I do not like regulations I understand very well why we need to regulations because some people are taking advantage of investors.


Title: Re: Fund raising through an ICO
Post by: Crypto-capitalist on April 18, 2018, 03:06:49 AM
Is it possible for a company to raise funds through an ICO even if it is not a startup?  ???  For example: Say company X manufactures chocolates but now it wants to further expand its operations and needs funds for it, can it opt for ICO instead of a Private Equity fund or a Bank Debt?
Please help I am a complete newbie and this concept is confusing me a lot  ::)
Thanks
I think it will be great. Because in this case ICO will be very popular for the investors. Because you can be sure that behind the token existing something real.


Title: Re: Fund raising through an ICO
Post by: Crypto-capitalist on April 18, 2018, 03:08:29 AM
But also I think - ICO should be regulated the same like a IPO.


Title: Re: Fund raising through an ICO
Post by: Sergey S. on April 20, 2018, 05:38:36 PM
Is it possible for a company to raise funds through an ICO even if it is not a startup?  ???  For example: Say company X manufactures chocolates but now it wants to further expand its operations and needs funds for it, can it opt for ICO instead of a Private Equity fund or a Bank Debt?
Please help I am a complete newbie and this concept is confusing me a lot  ::)
Thanks
I think it will be great. Because in this case ICO will be very popular for the investors. Because you can be sure that behind the token existing something real.
I absolutely agree! I think it's more safely way to invest in a project that already works! I like this one https://bineuro.com/web/ BiNeuro is artificial intelligence - neuronet to manage Google advertising campaign from Google Premier Partner. And the most important - BiNeuro is already working and showing excellent results in PPC advertising campaign! Team UCT WORLD CORPORATION was nominated to TOP 10 of Google 's fastest growing partners in the World owing to the BiNeuro system! Highly recommend


Title: Re: Fund raising through an ICO
Post by: wxa7115 on April 26, 2018, 08:41:20 PM
Is it possible for a company to raise funds through an ICO even if it is not a startup?  ???  For example: Say company X manufactures chocolates but now it wants to further expand its operations and needs funds for it, can it opt for ICO instead of a Private Equity fund or a Bank Debt?
Please help I am a complete newbie and this concept is confusing me a lot  ::)
Thanks
I think it will be great. Because in this case ICO will be very popular for the investors. Because you can be sure that behind the token existing something real.
I absolutely agree! I think it's more safely way to invest in a project that already works! I like this one https://bineuro.com/web/ BiNeuro is artificial intelligence - neuronet to manage Google advertising campaign from Google Premier Partner. And the most important - BiNeuro is already working and showing excellent results in PPC advertising campaign! Team UCT WORLD CORPORATION was nominated to TOP 10 of Google 's fastest growing partners in the World owing to the BiNeuro system! Highly recommend
While investing in a project that is ready is safer you need to understand that the least amount of risk that you take the least amount of profits you are going to have, for example investing right now in bitcoin is not very risky because now we know that bitcoin is going to survive and it's going to be here for a lot of time so the profits are limited, but investing in something that you do not know if it's going to become a success or not then the chances that you lose your money are we greater but if that is not the case there is a big chance that you multiply your money many times over.


Title: Re: Fund raising through an ICO
Post by: eriwis on April 27, 2018, 04:07:23 AM
Of course it can be, the main entity of ico is crowdfunding. This is then a problem because now everyone can create their own tokens.


Title: Re: Fund raising through an ICO
Post by: solovalley on April 27, 2018, 04:25:22 AM
Can and maybe already many do it. But the problem is whether the company really needs it. Because otherwise the possibility will be counter productive and not in line with the existing system.


Title: Re: Fund raising through an ICO
Post by: KopiItem on April 27, 2018, 05:05:17 AM
Is it possible for a company to raise funds through an ICO even if it is not a startup?  ???  For example: Say company X manufactures chocolates but now it wants to further expand its operations and needs funds for it, can it opt for ICO instead of a Private Equity fund or a Bank Debt?
Please help I am a complete newbie and this concept is confusing me a lot  ::)
Thanks
Of course it is possible, now everything possible in the cryptocurrency  :) If some company need funds to expand their projects they can offering their coins that the company make for the project. So the people who want invest for the project just join the ICO and buy the coin which is the project offer. One of the advantage of the ICO is the price of the coin cheaper and so many bonuses that investor can get when buy in the ICO stage, rather than investor buy after ICO ends. But when we want invest in the ICO's project we must carefully choose ICO because there are so many ICO scam which made by the unresponsibility people.


Title: Re: Fund raising through an ICO
Post by: Slugmonkey on April 27, 2018, 07:05:05 AM
It is possible to raise funds through ICO, but you need to make your own coin. One which coincides with your vision, the product should be such which compliments the vision. Then with appropriate marketing and promotion you can raise the funds you need. Yes, an existing company can also raise through ICO. The process can be confusing as regulation is very grey so make sure a law expert familiar with legality of your area is on board.


Title: Re: Fund raising through an ICO
Post by: saras008 on April 27, 2018, 07:18:01 AM
Nowadays everyone with whitepaper capital can make the project. If startup alone can let alone companies that already exist. So it is quite possible that traditional companies will go digital by utilizing crypto.


Title: Re: Fund raising through an ICO
Post by: nicolebtccrypto on April 27, 2018, 07:22:22 AM
Is it possible for a company to raise funds through an ICO even if it is not a startup?  ???  For example: Say company X manufactures chocolates but now it wants to further expand its operations and needs funds for it, can it opt for ICO instead of a Private Equity fund or a Bank Debt?
Please help I am a complete newbie and this concept is confusing me a lot  ::)
Thanks
I think it is possible if you can impress the company by your product. It also depends on your coin offering if it will fit to your product. Your product must be good inorder for the company to accept it.


Title: Re: Fund raising through an ICO
Post by: omonuyak on April 27, 2018, 07:25:16 AM
Is it possible for a company to raise funds through an ICO even if it is not a startup?  ???  For example: Say company X manufactures chocolates but now it wants to further expand its operations and needs funds for it, can it opt for ICO instead of a Private Equity fund or a Bank Debt?
Please help I am a complete newbie and this concept is confusing me a lot  ::)
Thanks
This is very possible and you just need to build trust in other to be able to actually rise fund for your project. However many scammers are now in the icos market and start up projects are what their are using to scam people. I have invest in many start up projects and 99% of them are scam. If you desire to start a company why not start from using your own capital and later use ico market to raise money for expansion.


Title: Re: Fund raising through an ICO
Post by: frowsiter on April 27, 2018, 07:35:44 AM
ICO stands for Initial coin offering, so it's only feasible if you're creating a new coin or payout coins from the dev wallet.

It is possible to raise funds for an ICO as an already existing company, yes.

Indeed. Thats why they are creating them and to be honest thats the easier way to go as compared the bank funding option. The later one needs huge documentation, collateral securities and much more to pass the funding.

ICO's first principle is to create the funding source and thats why they provide you token of share! That symbolises your investment and give you title of share holder, thus once they profit then they share you profits!


Title: Re: Fund raising through an ICO
Post by: icalical on April 27, 2018, 09:28:01 AM
Yes it is possible and there are tons of ICO that held by big company. When they want to add their liquidity and entering Crypto world they must launch an ICO, while the alternative for ICO is Airdrop which is not really profitable. Company will choose ICO over Airdrop of course. Moreover if they put their big name to support the ICO investor will be more assure, and more confident to participate in the ICO.


Title: Re: Fund raising through an ICO
Post by: richjohn on April 27, 2018, 10:16:46 AM
Raising money through ICO is by far the easiest method of raising money compared to the other methods.
Until now, it was hard to find an investor for your product. You would have had to attend various start up events and convince people out there to believe in your product and invest.
Now that has changed and you can simply raise money by launching your own ICO. But your product should be good enough for people to trust your project else you might fail like tons of shit coins have failed.
It takes a lot of effort to stay among the top.


Title: Re: Fund raising through an ICO
Post by: rose9696 on April 27, 2018, 10:24:32 AM
Is it possible for a company to raise funds through an ICO even if it is not a startup?  ???  For example: Say company X manufactures chocolates but now it wants to further expand its operations and needs funds for it, can it opt for ICO instead of a Private Equity fund or a Bank Debt?
Please help I am a complete newbie and this concept is confusing me a lot  ::)
Thanks
If they want to expand their business investments, they can use different capital calling strategies. But I think ICO will be a good way to call for investment and not take too much time. because the ICO is a new phenomenon, so there will be a lot of trust and find projects to invest ICO and to profit from it.
Calling for capital through the ICO is a smart decision and does not take too long to present a plan for the future.


Title: Re: Fund raising through an ICO
Post by: Tosyn2 on May 03, 2018, 05:25:52 AM
Yes. It saddened my heart seeing a lot of nonsense project flying around without any definite purpose there are a lot of them that aren't a start up company and raising fund just to scam the investors.


Title: Re: Fund raising through an ICO
Post by: Semight12 on May 03, 2018, 06:00:55 AM
Base on the little knowledge I have about the ICO market of a thing, it is possible for an existing company who have products to launch ICO and it would be of more advantageous for them to market their products


Title: Re: Fund raising through an ICO
Post by: gabinsight on May 03, 2018, 06:04:50 AM
Well it is possible, I have come across some existing companies raising funds through ICO. It don't only help attract investors it also helps make your company more recognized especially by carry out a bounty campaign.


Title: Re: Fund raising through an ICO
Post by: MaestroProject on May 03, 2018, 06:07:20 AM
If the company is manufacturing chocolate, it somehow needs to relate to the use of blockchain technology. In order to get targeted investment, ICO funding is far easier than other capital fundings currently.


Title: Re: Fund raising through an ICO
Post by: Pump N Dead on May 04, 2018, 03:59:32 AM
Is it possible for a company to raise funds through an ICO even if it is not a startup?  ???  For example: Say company X manufactures chocolates but now it wants to further expand its operations and needs funds for it, can it opt for ICO instead of a Private Equity fund or a Bank Debt?
Please help I am a complete newbie and this concept is confusing me a lot  ::)
Thanks
Yes it is possible but let me remind you that it should be a unique idea that will solve the existing problem and not just to help your own problem by funding your company. For example if your company is a chocolate and your problem is fund, I don't see any reason why you should make an ICO because you are lack of fund with your chocolate business. Chocolate is not a technology, it is raw materials.


Title: Re: Fund raising through an ICO
Post by: wxa7115 on May 04, 2018, 08:33:20 PM
Is it possible for a company to raise funds through an ICO even if it is not a startup?  ???  For example: Say company X manufactures chocolates but now it wants to further expand its operations and needs funds for it, can it opt for ICO instead of a Private Equity fund or a Bank Debt?
Please help I am a complete newbie and this concept is confusing me a lot  ::)
Thanks
Yes it is possible but let me remind you that it should be a unique idea that will solve the existing problem and not just to help your own problem by funding your company. For example if your company is a chocolate and your problem is fund, I don't see any reason why you should make an ICO because you are lack of fund with your chocolate business. Chocolate is not a technology, it is raw materials.
Correct, there are many icos that I see and my first reaction is, why are you creating an ico for this? It is true that until recently icos made very easy for people that had the talent to get the funds to make their ideas come true, but I think there has been some abuse by some people that have created unnecessary icos and I think now we are paying the price with all the regulation that is being put in place.


Title: Re: Fund raising through an ICO
Post by: jomvill on June 02, 2018, 04:12:17 AM
 the.ICO stands for 'Initial Coin Offering' and is a very hot area right now, with the amount of start-up funding raised through  ...


Title: Re: Fund raising through an ICO
Post by: longergou on June 02, 2018, 07:28:19 AM
Of course, you can raise funds through ICO. It can give investors other ways to return, such as lower consumer prices, or give you a member and so on! This is normal!


Title: Re: Fund raising through an ICO
Post by: loraalbert on June 02, 2018, 07:36:00 AM
to my knowledge. When expanding the type of business or bringing crypto to further develop the type of business, production is available. Requires judicial legality and endorses the relevant property. It is not easy. It's not as easy as you can start up an ico and put the smart contract algorithm from the token.
- because, if anyone can raise funds for any type of business. It is complex and conflicts with the laws of justice for society.


Title: Re: Fund raising through an ICO
Post by: Rejinx on June 05, 2018, 07:18:31 AM
Companies expect to adopt what is the lustrous direction materialising to their encircling in mean also representing them to survice


Title: Re: Fund raising through an ICO
Post by: cctv0 on June 05, 2018, 10:40:50 AM
Any company in any industry can raise funds through ICO, but some companies have already had stable products for people to use, so that its ICO will be easier to accomplish because people's trust will be higher!