Equity crowdfunding is often seen as the balancing force to traditional venture capital. Venture capital is exclusive and focuses on writing large checks to a few companies. Equity crowdfunding prioritizes inclusivity and the power of many small investments added together.Â
But what if there were a third option? A hybrid between equity crowdfunding and venture capital?
That’s the question being asked by Zell Capital. It’s a new venture capital fund with a big twist — it’s using crowdfunding to build its initial fund and investor pool. Zell Capital claims to be open to all investors, thereby overcoming the exclusivity of traditional venture capital. But does it really offer benefits that can’t be found in equity crowdfunding? In this episode of Startup Insider, Andy Gordon and Vin Narayanan discuss Zell Capital and whether it brings something new and useful to the startup investing community.Â
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