Capital Markets | April 25, 2025 | Last Updated September 21, 2026

2024 equity crowdfunding investment on FrontFundr by province. Image courtesy of FrontFundr

Equity Crowdfunding in Canada Continued to Grow

On April 30, 2026, FrontFundr released its latest Community Capital Report, showing another record year for its Canadian private markets platform. FrontFundr processed $83.2 million across 51 campaigns and 8,064 investments in 2025, with total capital up 23% from the prior year.

The results extend the growth first documented in 2024, when FrontFundr processed $68.3 million across 66 campaigns. Fewer companies raised on the platform in 2025, but more capital and substantially more investments flowed through those campaigns. A closer look at the $83.2 million FrontFundr private market year shows how retail participation and larger community raises contributed to that increase.

Canada's venture market remains selective. According to the CVCA H1 2026 market report, Canadian venture capital reached $2.69 billion across 250 deals in the first half of 2026. Capital increased 17% year over year, but deal count fell 8.8%. Sixteen financings of $50 million or more absorbed 59% of the capital invested.

For founders, that combination matters. Institutional capital remains available, but a significant share is concentrating in larger transactions. Equity crowdfunding gives companies another way to raise capital from customers, supporters and individual investors while building a wider ownership community around the business.

NI 45-110 Participation Accelerated

FrontFundr operates as an exempt market dealer and uses several prospectus exemptions. Its full $83.2 million of 2025 platform activity should therefore not be treated as investment crowdfunding conducted solely under National Instrument 45-110.

Activity specifically under the NI 45-110 start-up crowdfunding exemption reached $4.79 million from 4,320 investors in 2025, up from $1.71 million across 1,505 investments in 2024. FrontFundr reported a 93% market share under the exemption.

The 2025 platform results included:

• $83.2 million processed across 51 campaigns
• 8,064 completed investments, up 91% from 2024
• 16,063 new users, up 67%
• 5,968 new investors, up 87%
• $4.79 million raised under NI 45-110 from 4,320 investors
• 93% reported market share under NI 45-110

From 2015 through the end of 2025, FrontFundr reported processing more than $340 million across 36,057 investments and more than 285 raises.

The NI 45-110 numbers are particularly important for Canada's early stage capital market. The exemption allows an issuer group to raise up to $1.5 million over a 12 month period. In 2025, several campaigns came close to that ceiling.

Edison Motors raised $1,491,043 from 961 investors under NI 45-110, reaching about 99% of the available limit. Blossom Social raised $1,449,681 from 951 investors under the exemption, or about 97% of the limit, before additional accredited investor capital brought its total FrontFundr raise to approximately $1.93 million.

Gander Social also raised more than $1 million under NI 45-110, with $1,148,066 raised through the exemption as part of a total campaign of approximately $2.01 million.

As more companies develop investor communities capable of reaching the current ceiling, the practical question becomes whether the existing limit continues to fit the financing needs of successful early stage issuers.

Larger Community Raises Show What Works

Some of the strongest recent campaigns have come from companies that already had customers, followers or communities willing to become investors.

Blossom Social returned to FrontFundr in 2025 after raising $1.34 million from 742 investors in 2024. Its next campaign raised approximately $1.93 million from 1,028 investors in six hours, according to FrontFundr.

Edison Motors became the platform's largest raise of the year at approximately $6.8 million across the exemptions and investment channels available through FrontFundr. Its NI 45-110 component came close to the exemption's annual issuer limit.

Gander Social raised approximately $2.01 million across 2,581 investments, including more than $1.1 million under NI 45-110.

These campaigns show where community capital can be especially effective. Companies with strong customer bases, online audiences or stakeholder networks can convert some of that engagement into ownership capital while reducing their dependence on a single institutional financing source.

The model will not fit every company. Raising from a large number of individual investors requires communications, investor administration and a business that people can understand well enough to make an investment decision. For companies with the right community and capital needs, however, the channel is becoming more established.

Investment Activity Expanded Across Canada

FrontFundr's 2025 data shows that investment activity remained concentrated in Canada's largest private capital markets while participation increased across several provinces.

• Ontario: $41.9 million across 3,490 investments, with capital up 18% from 2024
• British Columbia: $27.9 million across 1,898 investments
• Alberta: $7.5 million across 1,200 investments, with capital up 213%
• Saskatchewan: $1.7 million across 222 investments
• Quebec: $1.6 million across 701 investments

FrontFundr also recorded its first investments from Newfoundland and Labrador and Prince Edward Island late in 2025.

The regional expansion matters because early stage capital is not distributed evenly across Canada. Online investment platforms can give issuers access to investors beyond their immediate city or local angel network while giving individual Canadians another route into private companies.

Where Equity Crowdfunding Fits in Canada's Capital Market

Equity crowdfunding remains a small part of Canada's overall private capital market. It should not be confused with venture capital, private equity, private credit or the wider exempt market. Its value is that it adds another financing option between personal networks, angel capital and larger institutional rounds.

The distinction between equity crowdfunding and wider online private market investing is also important. FrontFundr's $83.2 million platform total includes activity under several exemptions and investment products, while $4.79 million was specifically raised under NI 45-110. Reporting the two separately gives founders, investors and policy makers a clearer view of how investment crowdfunding itself is developing.

The issue is part of a wider capital formation challenge. Public market pressures and limited IPO activity can keep companies private for longer, while larger venture rounds continue to absorb a substantial share of available institutional capital.

That creates room for financing models that can serve companies before they are ready for a large institutional round. Community capital can play that role alongside angel investment, venture capital and other exempt market financing rather than trying to replace them.

Outlook

The next test is whether equity crowdfunding can become a more consistent part of Canada's early stage financing system rather than a funding option used mainly when conventional capital is scarce.

The ingredients are improving. More Canadians are participating in private markets, larger issuer communities can mobilize capital quickly, and regulated online platforms now have a decade of operating history behind them.

Growth should still be judged by more than dollars raised. A stronger market requires good companies to raise efficiently, investors to receive enough information to assess risk, platforms to operate sustainably and successful issuers to progress into larger rounds without losing access to the communities that helped fund them.

For investors, private company ownership carries significant risk. Investments can be illiquid for long periods, valuations can be difficult to establish, disclosure is more limited than in public markets and investors can lose some or all of their capital.

For founders, the opportunity is becoming clearer. Companies with credible businesses and engaged communities can combine retail investment with angel, accredited investor and institutional capital rather than treating those sources as separate choices.

Canada does not need equity crowdfunding to replace venture capital. It needs enough credible financing routes that promising companies are not dependent on a single class of investor at every stage of growth.

The National Crowdfunding & Fintech Association (NCFA Canada) is a financial innovation ecosystem that provides education, market intelligence, industry stewardship, networking and funding opportunities and services to thousands of community members and works closely with industry, government, partners and affiliates to create a vibrant and innovative fintech and funding industry in Canada. Decentralized and distributed, NCFA is engaged with global stakeholders and helps incubate projects and investment in fintech, alternative finance, crowdfunding, peer-to-peer finance, payments, digital assets and tokens, artificial intelligence, blockchain, cryptocurrency, regtech, and insurtech sectors. Join Canada's Fintech & Funding Community today FREE! Or become a contributing member and get perks. For more information, please visit: www.ncfacanada.org

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