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No IPO or equity funding for Kickstarter

Crowdfunding business wants to be an "institution for generations"

The CEO of Kickstarter has said the company has no intention of selling the business, as he intends to build the site as an "institution for generations."

Speaking at the GigaOM Roadmap conference yesterday, Perry Chen also stated there are no plans for Kickstarter to adopt equity crowdfunding, where backers could own a portion of the company they invest in.

"We think the most disruptive aspect is the removal of the investment component," said Chen, reports AllThingsD.

"People are supporting projects because they want to see them happen. It's so different than giving money because you want to make a profit."

Chen said the site is working hard to communicate what exactly Kickstarter is to make it easier to understand for backers. And he also reiterated last month's blog post about Kickstarter, where the founders made it clear that the site is not a traditional store.

"You're supporting somebody at a decently early stage, and you should understand that's what you're getting involved in," he said. "Delays are not infrequent. It's really about the creator setting the expectations for backers, and then if they have trouble, being very transparent."

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Matt Martin

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Matt Martin joined GamesIndustry in 2006 and was made editor of the site in 2008. With over ten years experience in journalism, he has written for multiple trade, consumer, contract and business-to-business publications in the games, retail and technology sectors.

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