Crowdfunding is a fundraising model that has been growing exponentially over the last few years. Not surprisingly, a large number of crowdfunding companies and platforms have sprung up, revolutionizing the way start-ups and young projects are funded.
Within this context, DubaiNext represents the first online crowdfunding platform officially managed by the UAE government. The platform was established on 19 May 2021 by HH Sheikh Hamdan bin Mohammed bin Rashid Al Maktoum, Crown Prince of Dubai.
In a nutshell, DubaiNext’s mission is to help innovative and international projects launch and establish themselves on the global market.
What is crowdfunding?
Before diving deeper into how DubaiNext works, it is worth explaining what crowdfunding is, so that you can understand the potential of the platform.
As the term itself implies, crowdfunding consists of collectively financing a project, an emerging company, a start-up or any other type of creative idea. Specifically, it is mostly fundraising carried out online.
It is not uncommon to witness cases in which people seeking to promote their online activities rely on crowdfunding. For instance, there are many authors who, in order to be incentivized to publish their first book and to cover their publishing costs, launch crowdfunding campaigns among their network.
Naturally, there are different types of online crowdfunding, but each of them has experienced very significant growth over time. As an example, equity crowdfunding, i.e. fundraising in which investors become full partners in the companies they fund, grew by 95% just in 2020.
DubaiNext. Not just Crowdfunding
What makes DubaiNext different is the fact that it is a non-profit company run by the government, suitable for all start-ups and creative projects that want to be financed with continuous support.
The platform is managed by Dubai SME, an agency established in 2002 with a proven track record in supporting and achieving goals for small and medium-sized enterprises.
The main goal is to help all those who, through their innovative ideas, want to contribute to the development of the United Arab Emirates, with a special focus on smaller entrepreneurs.
Specifically, DubaiNext deploys innovative strategies, fostering a proactive and entrepreneurial-focused working environment, so as to better develop the most promising SMEs. Needless to say, all of this will help make Dubai a real hub for all SMEs in the digital age.
Moreover, it is crucial to underline the fact that, rather than just promoting crowdfunding activities, DubaiNext has a second objective: to train a future generation of entrepreneurs. This is the only way for young people to face the Web 4.0 era head-on, fully aware of all the latest business tools and strategies.
How does DubaiNext work?
DubaiNext offers a wide variety of features, if you think that it is not only about investments, but also about professional training. However, the key feature of the organization lies in the crowdfunding model employed.
It is neither the ”classic” model nor the equity model. DubaiNext, in fact, uses the all-or-nothing model. In this way, the investors of the various campaigns are not exposed to any risk as is the case with the equity model, for example.
Indeed, the funds are only released when the project reaches the target set at the beginning. This also allows a project to be completed with the right sum of capital, preventing supporters from doing so with insufficient amounts of money.
If you see the big picture, this is a win-win solution. You, the investor, invest in a project with the confidence that you will only become the owner of the funds when it is consolidated and completed.
On the other hand, whoever launched the project has the security of having the right capital to successfully complete it. Moreover, the whole process is turned into a meritocratic one, as only the most promising ideas will be able to reach their goal.
Who can benefit from the service offered by DubaiNext?
DubaiNext is an open platform for everyone, regardless of ethnicity, culture, or ideals. For this reason, the organization presents itself as a non-profit platform accessible by any individual.
Whether you are a student, an experienced businessman, or part of a group that wants to launch an innovative project, you will be able to access the service offered by the company.
In addition, there is no limit to the types of projects that can be launched within the platform. An app, a prototype of a component, a food for the future or any other innovative idea can be proposed.
The only requirement for being able to achieve the goal is to show the potential of your project, making everyone understand that it is the most promising.
In brief, the various steps to be completed to access the service and launch your project are:
- Register via the DubaiNext login page
- Click on the Start a Campaign button
- Launch your project on the platform describing it in the best way possible
- Wait for the goal of your campaign to be reached, supported by your network of contacts if you can
- Let the company itself guide you through the growth of your project
What can I expect using DubaiNext’s services?
The use of the DubaiNext platform should be evaluated not just because you have the chance to be financed for your project. After all, the UAE is one of the world’s leading countries in the development of small and medium-sized enterprises.
The Vice President and Prime Minister of the UAE himself said that Dubai wants to focus on building a solid future for all small entrepreneurs who want to stand out from the crowd.
Leveraging the potential of a city that has been breathing a purely international air for years and promoting itself as an innovation capital can be attractive for any kind of business that wants to project itself globally.
This is the only way to get the most out of your own ideas and creativity.
If you are interested in finding out more about DubaiNext, take a look at its official website. In the FAQ section, you will find the answers to any of your questions.