Abundance Generation – a crowdfunding platform for renewable energy investment – has set new records after raising more than £200,000 in just four days.
It shows the popularity of raising funds in such fashion, with investors able to invest as little as £5 in renewable energy projects.
The latest project – REG High Down – is based in Cornwall and focuses on wind energy, aiming to create 0.5MW of electricity.
Staggeringly, £214,000 worth of investment was raised in just four days – the fastest collection for Abundance Generation and one of the quickest in the UK crowdfunding industry.
Expected returns of between 8.4% and 9.3% are anticipated across the next 20 years, with Karl Harder, the co-founder and managing director of Abundance Generation, saying energy investment was increasingly popular.
Momentum in the crowdfunding market
“We are seeing increasing momentum in the amount and speed that the crowd is investing in renewable energy projects,” he said.
“REG High Down is setting new records for amounts raised through the Abundance platform.”
Investing in projects such as these can produce significant returns, meaning they could be considered as an alternative to savings accounts and ISAs – albeit without guaranteed returns.
“The UK is seeing fast growth in two distinct areas right now: renewable energy and alternative finance,” added Mr. Harder.
Why people turn to crowdfunding
As a result, the Abundance platform has grown in scale and is seeing increased investment into the projects that it runs.
Many different platforms exist and all are capable of raising funds for projects of varying scales – from assisting start-ups and individuals to larger projects such as REG High Down.
Crowdfunding as a concept aims to get people to invest in these projects with the possibilities of financial returns in some cases.
In others it is merely a way of businesses seeking funds to help promote ideas and get things off the ground, meaning investors do so out of goodwill rather than by seeking returns.
Considering financial management options
Financial management is extremely important, so keeping spending in check with a prepaid card is a great way of ensuring that you’re not spending, or investing, more than you would like.
A prepaid card limits spending to the amount on the card at any given moment and is not directly linked to a bank account, making funds safer as a result.
The cards can easily be topped up or replaced if required, while accounts can be checked regularly online if needed.