Equity crowdfunding raises money from a large number of ordinary people over a regulated online platform, each buying a small slice of equity. It widens who can invest, but is heavily regulated and creates many small shareholders.
Where in the journey
Seed to growth; also used by consumer brands with fans.
What the money is for
Raise capital and turn customers/community into owners.
Common investors
The general public via platforms (e.g. regulated portals).
Watch out for
Regulatory limits, disclosure burden, and a large, dispersed shareholder base.