Crowdfunding is defined as the process of getting small amounts of money from common people in exchange for rewards. This process of collecting money can be performed in different ways like equity crowdfunding and reward-based crowdfunding.

Sometimes people might not have enough money to start a venture or implement their dreams into action. Getting a bank loan is also difficult these days and not to mention the personal loans. These loans require a lot of formal procedures and the interest rate is also high. In order to facilitate these budding entrepreneurs with money and earn money at the same time, the concept of crowdfunding was introduced.