The risks of financing start-ups using the method of mass financing

A. Copying - When the idea for a start-up is publicly offered on the Internet, the idea can be stolen. Therefore it is important to issue a patent before publishing the call for mass funding - the patent is also a source of attraction to the financiers. In addition, it is not possible to issue a patent after publication of the idea on the sites of mass funding.
B. Scams by impostors
third. The need to deal with many investors - the mass funding method leads to a multiplicity of investors and thus burdens the company with more preoccupation with the company, sometimes early and inexperienced. Therefore dealing with many investors may lead to looting time and money.
D. Easy money makes recklessness - when money is easily available to an organization, especially in the case of a company in its infancy, money can be managed recklessly and inefficiently and thus waste quickly without control and without benefit.