Exploring the Future of Crowdfunding: Insights from Reflect Festival

At the vibrant Reflect Festival in Cyprus, an event celebrated for its promotion of entrepreneurship and innovation, two pioneering founders engaged in a compelling discussion. Pedro, the founder of Create, and Frixos, the founder of Crowdbase, shared their insights on the future of crowdfunding. Crowdbase, as the first regulated equity crowdfunding platform in Cyprus, is transforming the investment landscape. In this exclusive interview, Frixos elaborates on their journey, the challenges they’ve faced, and their vision for crowdfunding in Cyprus and beyond. Join us as we explore the dynamic world of Crowdbase and discover how they are bridging startups with a global network of small investors.

Pedro: Hi everyone, I’m Pedro, and today I’m excited to have a special guest with me—Frixos from Crowdbase. Welcome, Frixos.

Frixos: Thanks, Pedro. It’s a pleasure to be here.

Pedro: So, Frixos, what brings you to Reflect today?

Frixos: Reflect is the biggest event in the region promoting entrepreneurship. As a key player in this ecosystem, Crowdbase wants to showcase what we’re doing, connect with startups, and engage with potential investors.

Pedro: That sounds fantastic. For those who may not be familiar, can you explain what Crowdbase does?

Frixos: Sure. Crowdbase is the first regulated equity crowdfunding platform in Cyprus. We pool investments from a large number of small investors to fund startups and real estate projects. While we started in Cyprus, we’re now expanding beyond Europe.

Pedro: Many have attempted crowdfunding in Cyprus before but didn’t succeed. How did Crowdbase manage to become successful?

Frixos: The idea came when I was involved with a consortium setting up the first government-backed equity fund in Cyprus to invest in startups. I saw an opportunity to bring a new model of entrepreneurial financing to Cyprus, inspired by successful crowdfunding initiatives in the UK, US, and Israel. Cyprus had a specific directive for regulating this activity, which was advanced for Europe. We navigated the regulatory procedures to get licensed, becoming the first to do so in Cyprus.

Pedro: How long did it take to get through the regulatory process?

Frixos: It took over a year and required a lot of effort and patience. Being the first to go through this process was challenging, but it was a valuable learning experience.

Pedro: I remember your first campaign with Easy Boat was quite a hit. How did that partnership come about?

Frixos: Easy Boat, essentially the booking.com for yacht chartering, was founded by two entrepreneurs looking for financing. We were introduced through a corporate finance company. Both Easy Boat and Crowdbase were launching simultaneously, creating a perfect synergy. We showcased both companies, gaining investment and raising awareness.

Pedro: For someone with an innovative idea, how can they approach Crowdbase to get started?

Frixos: We are open to all innovative ideas, but startups need to have at least a minimum viable product (MVP). They can contact us through our website by filling out a form with their information, business plan, financials, and other standard fundraising materials. We then start a conversation to explore how we can work together.

Pedro: What happens after the initial contact?

Frixos: Once we agree on the funding amount and other details, we collaborate to build the campaign page, including videos and other materials. After everything is set up, the campaign is opened to the public for investment.

Pedro: Finding investors can be challenging. Do you have any tips for others?

Frixos: Investors want to see your journey. Being transparent and sharing your progress is crucial. Avoid cold approaches; instead, show the evolution of your project to engage potential investors.

Pedro: Many successful startups document their journey as part of their marketing strategy. How effective is this?

Frixos: It’s very effective. Recording and sharing your progress helps build an emotional connection with your audience. This approach can attract your first customers, who might become your investors or advocates, driving organic growth and providing valuable feedback.

Pedro: Over the years, how have you seen the startup ecosystem in Cyprus evolve?

Frixos: The entrepreneurial ecosystem in Cyprus has grown significantly, especially since 2020. Events like Reflect have contributed to this growth. People are becoming more familiar with startups and alternative investments, which is great for our business.

Pedro: Do you think recent tax incentives for the tech industry have attracted more startups and investors to Cyprus?

Frixos: Definitely. The tax incentives are a major attraction for both startups and investors. Combined with the growing ecosystem, these incentives make Cyprus an increasingly appealing destination for entrepreneurial activity.

Pedro: Thank you, Frixos. This has been an enlightening conversation. Any final thoughts for our readers?

Frixos: Just to reiterate, the journey of building something new is challenging but rewarding. Stay transparent, engage with your audience, and leverage the resources available to you. Thank you for having me, Pedro.

Pedro: Thank you, Frixos. It’s been a pleasure.

The Conversation: Frixos, founder of Crowdbase and Pedro, founder of Create

Crowdbase – Pioneering Equity Crowdfunding in Cyprus

Crowdbase stands out as a trailblazer in Cyprus’ investment landscape, being the first regulated equity crowdfunding platform in the country. Founded by Frixos, Crowdbase has successfully created a bridge between small investors and innovative startups, offering a unique opportunity for entrepreneurial ventures to secure necessary funding. The platform’s expansion beyond Cyprus into the European market demonstrates its growing influence and success. Through meticulous planning, regulatory navigation, and a focus on transparency, Crowdbase has not only filled a crucial gap in the Cypriot funding ecosystem but has also set a new standard for crowdfunding initiatives. Their journey underscores the importance of patience, resourcefulness, and innovation in transforming the investment scene, providing valuable lessons for both investors and startups.

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