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Crowdfunding adoption slacks for renewable energy technology start-ups in Europe

Even in the middle of the current COVID-19 pandemic, Bernhard Stockl still believed in attracting stakeholders to his recyclable energy investment. 

Photovoltaik Leitinger, who is the Chief Executive Officer (CEO) of the Austrian renewable power company, began Crowdfunding for his bifacial solar panel enclosure. The panel gathers solar power from both sides and gives up to 10 percent more power compared to its conventional equivalents. Leitinger confirmed that they anticipated recyclables to achieve momentum amid the Coronavirus crisis. 

The changeover to clean power is controlled by big businesses and large-scale community projects targeted at offering low-carbon energy at scale. Yet, most individual people are enthusiastic in doing their part in realizing climate goals by supporting and establishing small-scale recyclable kits. 

Crowdfunding can have renewable energy projects above the ground and democratize the power changeover. Correspondently, these podiums work differently from custom investments and take diverse sorts of risks for retail stakeholders. 

To fund their solar enclosure, Mr. Stockl, together with his business associate Robert Leitinger crowdfunded on Green Rocket, an Austrian platform. In a matter of a few weeks, they gathered more than 500,000 Euros from 462 stakeholders. Green Rocket is among the biggest Crowdfunding platforms in Austria, Rocket Holding, that assists in heaving funds for a variety of real estate and start-up investments. Invented in 2013, Green Rocket has ever since heaved a sum of 21 million Euros for 82 schemes focusing on sustainability. 

The platform users put in a self-effacing average total of 1,300 Euros per project and could decide between lending and getting equity stakes in investments. Lending stakeholders are given a fixed yearly return of 5-6.5 percent. 

The Chief Executive Officer of Green Rocket, Wolfgang Deutschmann, confirmed that, until lastly, Crowdfunding was principally perceived as a new alternative to conventional bank loans or investment capital support. He added that he has presented numerous talks on the way Crowdfunding is not an alternative or rivalry to traditional banks, however a new project financing. Many of its projects are Austria-based, where loans from banks having low-interest rates are easily accessible. 

Photovoltaik Leitinger also took a look but chose Crowdfunding to cover the 20 to 30 percent fairness share generally required as a guarantee. Mr. Deutschmann confirmed that creators love the idea of not depending on professional stakeholders to could have their purposes.

In most world parts, entrepreneurs endorse environmental-friendly investments that are not easily able to secure a bank loan at all.