Outvesting is the act of committing money to a business while expecting to get nothing in return, other than the satisfaction of giving a leg up to entrepreneurs. The initiative started in Ireland for the support of Irish entrepreneurs.
The principle of outvesting is extremely simple and consists of 5 Steps:
- Gather 100 pledges of €50 from a given community
- Collect €5000
- Gather submissions from local startups
- Donors vote for their favourite startup
- Winner collects €5000
Outvesting was inspired by the conversation around two blog posts, by Pat Phelan and Joe Drumgoole. The sum of €5,000 kept coming up as a baseline figure that a bootstrapping startup could do something useful with.
No other return for the donors than the mere satisfaction of having helped a local venture.
KildareStreet.com, a political accountability website, has been announced the winner of the inaugural €5,000 Outvesting fund. Outvesting has apparently not yet duplicated its call for free funding and could be a one shot unless other initiatives be inspired by its principles.