According to Pakistan IT news, Pakistan’s largest tech incubator and hub for innovative and bright ideas, Plan9, has signed an MoU with FundingLab that will lead to the growth and development of entrepreneurial startups.
The joint venture aims to create a modern avenue for raising funds and boosting the development of startups. Young entrepreneurs are not risk averse; therefore they bring a degree of dynamism to their business. Such startups can be found via educational institutions, which provide the gateway to young talent with raw ideas.
Plan9 seeks to introduce entrepreneurs to its incubation process, which facilitates startups by allowing them to build upon their ideas and realize them in the practical world. Meanwhile, FundingLab seeks to provide financial investment to young talent with innovative ideas.
The collaboration aims to give startups a one-stop solution to all of their hurdles. Unfortunately, 90% of the crowd funded projects don’t turn out successful, but FundingLab is looking to bring failures down to 50%. Backers of such projects aren’t looking for returns on their investments.
Instead, they treat such investments as donations in favor of businesses they would like to see succeed. Therefore, it is essential to first get the vision of a startup across to its potential backers, and FundingLab offers the platform to accomplish that.
FundingLab’s crowd funding model eliminates the need for any third party involvement, making the expenditures transparent to donors. The direct communication between a startup and its backers is what separates FundingLab from other fund raisers.
Young entrepreneurs with ideas for startups are invited to submit them on FundingLab’s web portal. The 7-step selection process, which includes verifying the project’s status and its suitability for funding, takes up to 15 days.
With this collaboration, both Plan9 and FundingLab are looking to introduce new funding methods in Pakistan and, in turn, bridge the gap between idea and revenue generation.