THE BUSINESS OF SEX: adultXfunding
This is a series from and for everyone connected with or interested in the porn industry. We ask various sex-companies about their history, break-event points, dealing with social stigma and what is specific while working in an industry like this.
adultXfunding was created to address the need for P2P & investments in the Business of the Adult Industry as this business sector has been passed over and not repersented by the mainstream financial sectors. They offer a wide range of exciting businesses looking to expand & new start up’s looking to launch. The aim of the company, is to provide an industry leading platform for registered investors to make investments in viable investment opportunities.
How long did it take your company to start earning money? What should have to be done to monetize a business?
Setting up the crowdfunding platform was a long and expensive project and one that is still growing. We launched in January 2017 so we are not at the break even stage in our business model yet. Our original plan was to have a number of revenue streams in to the business, the majority of these have worked as planned, where some we have adapted to meet the challenges of launching a new business. This has to be key to any new business, use your original business plan as a guide to see what is working and what needs adjusting.
What was the toughest part while building your company?
Everybody knows about the size of the global adult entertainment industry, how it has developed many of the technologies we use today. The crowdfunding market has also grown. Since its evolution less than 10 years ago, crowdfunding now raises over $30bn annually, and is estimated by the World Bank to continue to grow rapidly to over $90bn in the next 5 years. However, when I was approaching companies within the crowdfunding sector for white-label platforms, AR compliance or payment options, I was greeted by the same answer. That is a great idea, it will be amazing, but we cannot work with you due to reputational risk.
By not giving up and knowing we were going in the right direction we found the right partners to work with, we launched and now we are planning our expansion into offering equity crowdfunding campaigns, which will make us a world’s first. With companies already lined up to place equity campaigns on the site and the way our business model is set, we will retain equity in these campaigns which will allow us to develop an investment portfolio and a network where all companies benefit from within this group. Very exciting times.
This expansion is also allowing us the opportunity to invite investors to join us and take make a equity investment in the operating company which will allow the continued growth in to the US and European equity markets.
What is specific when it comes to a porn industry? what is specific when it comes to work in a porn industry?
Working in the adult industry has the same day to day problems that all business have, getting customers in, delaing with suppliers, staffing and paying the bills. The adult sector then has added hurdles to overcome from advertising, extra licenses in some sectors to banking and of course raising investment.
At AXF we are overcoming the later, being open and upfront and showing the mainstream media and public that an adult industry business is a good opportunity to invest in. They over come many of these extra hurdles by being more creative when it comes to advertising or the use of technology, offer better customer service and as a tight knit group of companies you find at trade events companies are always open and willing to talk to each other.
What about the social stigma?
There are many that have a pre conceived idea about all adult industry companies, most if not all is totally wrong. The adult industry has allowed some of these ideas to become folk law as it adds to the mystery around the industry and adds excitement and to the fantasy to which most companies are selling into.
At AXF we have to show both sides, on the rewards based crowdfunding campaigns, investors can recieve rewards that they normally could not purchase, be it joining a film production on set on having one of their own stories turned in to a scene. Enjoy great discounts of the latest sex toys, all while helping these companies grow. With equity campaigns, we will show the professional side of the company, their team and business so investors will feel more secure about investing in equity knowing there is a better chance of returns on their investment.
Also, by being open, selecting only the best companies to run campaigns on the AXF platform we will show how professional this industry sector is and allow the public to finally benefit from the continued grow the adult entertainment industry enjoys. As more campaigns hit targets on AXF we feel the public will show more interest and understanding of this sector and see it as an untapped investment opportunity.
adultXfunding in association with thespotlive.com
Would you like us to feature your company? Write to kaja@thespotlive.com
Published on September 20, 2017.
Visit adultXfunding’s website | Follow them on Twitter
Follow Spotlive on Facebook | Twitter
