The People's Fund

The People's Fund is a crowdfunding platform based in South Africa that focuses on supporting black-owned and -led businesses. It aims to democratize access to funding and provide an alternative to traditional financing methods.

Bridging the funding gap: The People's Fund and its founder's vision

The People's Fund was founded in 2019 by Vuyiswa Nzimande, a South African entrepreneur and former investment banker.

Nzimande noticed the lack of access to financing for black-owned businesses and decided to create a platform that would allow people to invest in these businesses directly.

She wanted to create a more inclusive and transparent system that would empower entrepreneurs and promote economic growth in underserved communities. With this vision, she founded The People's Fund, which has since become a leading crowdfunding platform in South Africa.

Who is the People’s Fund designed to serve?

The platform targets entrepreneurs who are looking to raise funds for their startups or grow their existing businesses. The People's Fund welcomes businesses from a range of industries, including agriculture, manufacturing, retail, and technology.

The People's Fund is unique in the crowdfunding space because of its focus on promoting economic inclusion and transformation in South Africa.

Special features that make it stand out:

• Black-Owned Businesses: The People's Fund focuses exclusively on supporting black-owned and -led businesses. This is a key differentiator from other crowdfunding platforms that do not have this focus.
• Funding Criteria: The platform has clear funding criteria that ensure businesses meet certain requirements, such as being majority black-owned and operating in South Africa. This helps to maintain the platform's focus on economic inclusion and transformation.
• Investment Options: The People's Fund offers a range of investment options, including equity, debt, and reward-based funding. This allows businesses to choose the funding model that works best for their needs.
• Investor Benefits: Investors on The People's Fund platform receive a range of benefits, including the opportunity to support black-owned businesses and contribute to economic transformation in South Africa. Investors can also earn returns on their investments and receive updates on the progress of the businesses they have invested in.
• Education and Support: The People's Fund provides education and support to entrepreneurs to help them prepare for crowdfunding and increase their chances of success. This includes resources on crowdfunding best practices, business planning, and financial management.

The platform's crowdfunding options include equity, debt, and reward-based funding, and investors can benefit from potential returns and the opportunity to support businesses that align with their values.

The People's Fund supports a diverse range of businesses in various industries, as long as they meet certain criteria. Here are some examples of the types of businesses the platform supports:

• Agriculture and Agribusiness
• Arts and Culture
• Construction and Engineering
• Education and Training
• Energy and Clean Tech
• Fashion and Beauty
• Food and Beverage
• Health and Wellness
• Manufacturing and Production
• Professional Services
• Retail and E-commerceTechnology and Innovation

From Equity to Rewards: Understanding the Three Types of Crowdfunding on The People's Fund

You can raise funds by directly connecting with potential investors. First create a profile on the platform, outlining your funding needs and the rewards or equity you’re offering to investors. Investors can then browse through the available businesses and choose to invest in those that align with their values and investment goals.

Once an investment is made, the funds are transferred to the business, and the investors receive updates on the progress of the business. The People's Fund offers three types of crowdfunding: equity, debt, and reward-based funding.

Equity funding allows investors to become shareholders in the business, while debt funding involves investors lending money to the business with the promise of repayment with interest. Reward-based funding involves businesses offering tangible or intangible rewards in exchange for financial contributions.

They also provide education and mentorship to businesses to help them prepare for crowdfunding and increase their chances of success. The platform takes a percentage of the funds raised as a fee for its services.