“How come we cannot invest in mom and pop businesses just as we invest in Wall Street?” A good question, really. Usually, the answer is, “because our return on our investment would be minimal.” But is that always the case?

According to Steve Bisbee, President of locally-owned start-up Cogster, small investments will create quick working capital for the entrepreneur, which will be paid back in kind to the investor through goods and services offered by the company. Where does Cogster fashion itself into all this? Simply put, Cogster provides the platform to take the money legally.

Here’s what their Facebook group is saying,

Cogster.com provides a new way for you to support the local businesses that impact your life, and get HUGE rewards for doing so.

Supporters can help their favorite local businesses succeed, improve their community by shopping locally, and earn access to exclusive deals and annual rewards in their area.

Businesses & Community Groups can raise upfront cash from customers that want to help, increase customer loyalty, flow and frequency, and utilize FREE viral marketing to local-minded citizens in the area.

The way it works is quite incredible. You have to join a Cogster Loyalty Campaign first, and put a down a payment (to Cogster) for the business you opt to support. After you make this payment, you receive a “dividend certificate” to the business you decide to support. Then, one month following your initial purchase, you receive a second certificate for 50% of your initial payment. One month after that, you receive a third certificate for the same amount as the second. So if you opt to invest $50 into a business, you can benefit up until $100. Thus, you are continuing to support your local business. Now that is cool.

Cogster is currently looking to expand and educate State College to utilize Cogster as a resource. If you take a look at the businesses Cogster helps, it is all about supporting local. Webster’s campaign is one which seems to aim for a fairly high total (raise $40,000), but it is coming along at a blistering pace. According to Cogster’s Twitter feed, Webster’s has already reached 12% of its goal as of publishing . The campaign allows you to “put your money where your mouth is” and speak with a collective voice.

Hopefully the Webster’s campaign will allow for others to take a look at how easy it was utilizing Cogster for help, therefore strengthening local businesses. This platform unites customer and owner and makes investors feel like they matter to the success of the business.

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