RealtyShares, one of the oldest and largest real estate crowdfunding companies, is closing its doors to new business and laying off most of its people. Why? No one outside of RealtyShares can know for sure. But it looks like their business model simply didn’t work in the long run. That’s not unusual in a new industry. Continued dependency on venture capital to fund growth after over 5 years in business could be an indication. Balancing investor acquisition and deal flow was likely part of the problem. Perhaps growth based on acquisitions while selling off the organic business that got them started was ill advised. One thing is sure, fancy technology and pretty websites don’t make up for solid experience and discipline.
On the other hand, Zeus CrowdFunding has never depended on venture capital. ZeusLending.com provided these kinds of real estate loans and investments offline for over 13 years before moving the business online in 2016 as Zeus CrowdFunding. Once the glamour fades from a “new product category,” what is needed is execution, attention to detail, and the unrelenting creation of positive value for your customers.
Zeus CrowdFunding breaks the mold in many ways:
*Zeus CrowdFunding is the only crowdfunding site that offers this feature.
We’re sad to see the news about RealtyShares. Never-the-less, real estate crowdfunding is alive and well, and Zeus Crowdfunding is a shining example.
To learn more, visit zeuscrowdfunding.com.