# Equity crowdfunding: what it is and how it works
> Equity crowdfunding is a form of crowdfunding in which contributors receive a share in a company's equity under the terms of the transaction.
URL: https://www.zorraquino.com/en/dictionary/digital-marketing/crowdequity.html

# Equity crowdfunding

Equity crowdfunding is a form of crowdfunding in which contributors receive a share in a company's equity under the terms of the transaction

What it means, how it is used and where it comes up, with its related concepts.

[The whole glossary](https://www.zorraquino.com/en/dictionary)

## What it is and how it works

It differs from a donation, a loan or a reward. Contributions are exposed to business risks and do not guarantee that the money can be recovered or the holding sold whenever desired. This entry identifies the model without recommending investments or describing the legal requirements of a particular offer.

Also known as

Crowdequity, Crowdinvesting

Topics

[Marketing and sales](https://www.zorraquino.com/en/dictionary/category/marketing-y-ventas)

## Related concepts

- [Crowdfunding](https://www.zorraquino.com/en/dictionary/internet/crowdfunding.html)
- [Start-up](https://www.zorraquino.com/en/dictionary/internet/startup.html)
- [Fintech](https://www.zorraquino.com/en/dictionary/digital-marketing/fintech.html)