RocketHub

Last updated
RocketHub
Type of site
 Crowdfunding
URL rockethub.com

RocketHub was an online crowdfunding platform launched in 2010, its first use was September 1, 2009. Based in New York City, its users included musicians, [1] entrepreneurs, [2] scientists, [3] [4] [5] game developers, [6] [7] philanthropists, [8] filmmakers, [9] photographers, [10] theatre producers/directors, [11] [12] writers, [13] and fashion designers. [14] [15] Users posted fundraising campaigns to it to raise funds and awareness for projects and endeavors. Operating in over 190 countries, RocketHub was once considered one of America's largest crowdfunding platforms. [16]

Contents

History

Incorporated in 2009, the platform launched by January 2012. [17] The original founders of RocketHub were Brian Meece, Jed Cohen, Alon Hillel-Tuch, and Vladimir Vukicevic. Bill Clinton and Bill Gates selected it as part of their guest-edited Ways to Change the World edition of Wired Magazine. [18]

RocketHub was the first crowdfunding platform to partner with network television, [19] “We believe we’re the first broadcast network to start an initiative using crowdfunding to help people grow their business ideas,” Dr. Libby H. O’Connell, SVP of Corporate Outreach for A&E Networks. [20]

RocketHub engaged in a partnership with marketing agency Wieden+Kennedy and Chrysler's Dodge Dart in 2013 allowing users to crowdfund the purchase of a car. It was featured at the 2013 Cannes Film Festival, the campaign video became a Cannes Bronze Film Lion winner. [21]

On April 15, 2015, RocketHub was acquired by EFactor Group, an online resource center for entrepreneurs. The acquisition deal was valued at US$15M.

In 2018, eFactor Group shut down the RocketHub brand.

In 2022, RocketHub.com domain was acquired by Charlie Patel, CEO of the newly formed RocketHub LLC. [22] It launched as a platform for SaaS (software-as-a-service) products, WordPress plugins, and informational products. The new RocketHub entity and brand is not associated with any of the prior entities or individuals.

Crowdfunding

RocketHub enabled direct-to-fan social media-based outreach and fundraising. Project leaders, i.e., fundraisers, publicize campaigns themselves through Facebook, Twitter and similar platforms. When posting a campaign, users chose a campaign deadline, target funding-goal, and offed “perks” in exchange for contributions. [23] Broadly, RocketHub shared similarities with platforms such as Kickstarter, Sellaband, and Pledgemusic, [24] however if the selected funding target is not reached by the deadline, the project leader was still able to keep the collected funds. RocketHub charged 4% of funds collected, plus 4% payment processing fees, if the project is fully funded, and 8% plus 4% payment processing fees if the project does not reach its goal. [25]

JOBS Act

On April 5, 2012, President Obama signed the Jumpstart Our Business Startups Act (JOBS Act) into law. Among other things, the act legalizes investment in closely held corporations in exchange for funds from non-accredited investors. [26] In response, RocketHub published a whitepaper entitled “Regulation Of Crowdfunding” offering its perspective on how the U.S. Securities and Exchange Commission should regulate the industry. [27]

On June 26, 2012, Rockethub testified before Congress regarding the JOBS Act, presenting three points. They included how crowdfunding democratizes fundraising; how it will lead to job growth; and how it empowers investors. [28]

Partnerships

RocketHub had partnered with organizations in order to educate the public about the emerging field of crowdfunding:

See also

Related Research Articles

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Fan-funded music is crowdfunding for music. Often, fan-funded music occurs in conjunction with direct-to-fan marketing. Fans of music have the option to donate and collectively raise money with the goal of jump-starting the career of a given musical artist. The fan-funding of music occurs primarily through web-based services using a business model for crowdfunding. Fans are typically given rewards based on their monetary contributions.

<span class="mw-page-title-main">Kickstarter</span> US-based crowdfunding platform

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PledgeMusic was an online direct-to-fan music platform, launched in August 2009. It was started to facilitate musicians looking to pre-sell, market, and distribute projects; such as recordings and concerts. It bore similarities to other artist payment platforms as ArtistShare, Kickstarter, Indiegogo, Patreon, RocketHub and Sellaband.

<span class="mw-page-title-main">Indiegogo</span> American crowdfunding website

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<span class="mw-page-title-main">Jumpstart Our Business Startups Act</span> United States federal law

The Jumpstart Our Business Startups Act, or JOBS Act, is a law intended to encourage funding of small businesses in the United States by easing many of the country's securities regulations. It passed with bipartisan support, and was signed into law by President Barack Obama on April 5, 2012. Title III, also known as the CROWDFUND Act, has drawn the most public attention because it creates a way for companies to use crowdfunding to issue securities, something that was not previously permitted. Title II went into effect on September 23, 2013. On October 30, 2015, the SEC adopted final rules allowing Title III equity crowdfunding. These rules went into effect on May 16, 2016; this section of the law is known as Regulation CF. Other titles of the Act had previously become effective in the years since the Act's passage.

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References

  1. ↑ Rice, Andrea. "RocketHub: For Creatives, By Creatives", American Songwriter, June 22, 2010, accessed November 29, 2010.
  2. ↑ Maltby, Emily. “Tapping the Crowd for Funds”, The Wall Street Journal, December 8, 2010, accessed August 30, 2012.
  3. ↑ Zelnio, Kevin. “#SciFund Puts YOU in Charge of Funding Science!”, Scientific American, November 11, 2011, accessed August 30, 2012.
  4. ↑ Koerth-Baker, Maggie. “Help crowdfund scientific research!”, Boing Boing, November 1, 2011, accessed August 30, 2012.
  5. ↑ Giles, Jim. “Finding philanthropy: Like it? Pay for it”, Nature Magazine, January 18, 2012, accessed August 30, 2012.
  6. ↑ Meece, Brian. "$80K in 10 Days, The Story of Extra Credits - As Told By Show Co-Creator James Portnow", RocketHub Blog, July 15, 2011, accessed August 30, 2012.
  7. ↑ Schmidt, Brandon. “Interview with Nine Dots Studio”, The Indie Mine, December 19, 2011, accessed August 30, 2012.
  8. ↑ Kempe, Anika. “Weathersby creates fund in honor of late father”, The Collegian, January 26, 2012, accessed August 30, 2012.
  9. ↑ Lungulov, Darko. "Tribeca Takes: Darko Lungulov on Here and There", Tribeca Takes, May 11, 2010, accessed November 29, 2010.
  10. ↑ Hainer, Michelle. "New Site Helps Cash Strapped Creatives", Tonic, June 10, 2010, accessed November 29, 2010.
  11. ↑ BWW News Desk. “The Amoralists to Present THE BAD AND THE BETTER for 6-Week Run at the Peter Jay Sharp Theater”, Broadway World, April 18, 2012, accessed August 30, 2012.
  12. ↑ Boroff, Philip. "Fringe Festival Impresarios Find Angels Online With RocketHub", Bloomberg, Feb 30, 2010, accessed November 29, 2010.
  13. ↑ Paquette, Aaron. "Be Part of Something Very Cool! Only You Can Make It Happen…", Aaron Paquette Network, June 24, 2012, accessed August 30, 2012.
  14. ↑ Davis, Paul./projects/656-help-paul-davis-fund-his-next-collection/ "RocketHub - Help Paul Davis Fund His Next Collection!!!"], November 22, 2010, accessed August 30, 2012.
  15. ↑ Gabrielle. "Become part of the Bunmi Koko Launch during London Fashion Week", Fashion Industry Network, September 7, 2010, accessed August 30, 2012.
  16. ↑ Mandelbaum, Robb (December 26, 2012). "RocketHub Ponders Its Future In Crowdfunding". New York Times. Retrieved January 9, 2017.
  17. ↑ Peter. “Alternative Marketing: 5 Best Crowdfunding Sites”, Business Advice Daily, May 13, 2012, accessed August 30, 2012.
  18. ↑ Olson, Mike. “Here’s How You Can Help Fund Sensational Research Projects”, Wired
  19. ↑ Wagner, Kurt. “Could crowdfunding produce A&E's next hit show?”, Fortune
  20. ↑ Conner, Cheryl. “Television Meets Crowdfunding: A&E Networks And RocketHub Launch 'Project Startup' For Entrepreneurs”, Forbes
  21. ↑ Macleod, Duncan. “Cannes Film Lions 2013”
  22. ↑ Patel, Charlie. “RocketHub”]
  23. ↑ RocketHub. "FAQs", accessed August 30, 2012.
  24. ↑ from PRINT EDITION. Putting your money where your mouse is, The Economist, September 2, 2010, accessed November 29, 2010.
  25. ↑ "What does it cost?"
  26. ↑ Colao, J.J. “Breaking Down The JOBS Act: Inside The Bill That Would Transform American Business”, Forbes, March 21, 2012, accessed August 30, 2012.
  27. ↑ Hillel-Tuch, Alon. "Regulation of Crowdfunding", May 1, 2012, accessed August 30, 2012.
  28. ↑ Hillel-Tuch, Alon. "RocketHub Testifies in Congress - JOBS Act & Crowdfunding", June 27, 2012, accessed August 30, 2012.
  29. ↑ Grammy365 Staff. Music Box: A Professional Development Event Crowd Funding, Grammy365, November 5, 2010, accessed November 29, 2010.
  30. ↑ Catton, Pia. In Queens, a New Project: Learn the Art of the Deal, The Wall Street Journal, October 25, 2010, accessed November 30, 2010.
  31. ↑ Press Release. The "Musicians As Entrepreneurs" Official CMJ Music Marathon Networking & Showcase Event, Mi2N, October 6, 2010, accessed November 29, 2010.
  32. ↑ Rice, Andrea. "The New Music Seminar: Viva La Revolution", American Songwriter, July 26, 2010, accessed November 29, 2010.
  33. ↑ Fractured Atlas. "Fiscal Sponsorship", accessed August 30, 2012.
  34. ↑ "RocketHub Partners with The Orchard to Fuel Music Industry Marketplace", September 14, 2011, accessed August 30, 2012.
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