Crowdfunding Startups: Three P’s of Successful Funding

Crowdfunding is becoming one of the most acceptable techniques to raise funds. While earlier people used the concept as a sideways to gather a certain proportion of money of which they are short of, nowadays it is becoming the mainstream. Crowdfunding is collecting funds from a large number of people online.

The rate of successful campaigns is not greater than those of unsuccessful campaigns. Hence, the success of a crowdfunding campaign cannot be guaranteed. Moreover, initiating a crowdfunding campaign requires a lot of time, energy, and efforts and is a full-time job and; therefore, it cannot be taken for granted.

Below given are some key pointers that you should adhere to while running your crowdfunding campaign –

Preparation

Launching a crowdfunding campaign and money will move in your campaign is an absolute myth. To ensure the success of your crowdfunding campaign, you must be ready with prior arrangements. These include spreading the word around, way before launching the campaign, making prior arrangements for publishing your PR. Try to get your potential backers early on board so that you gain sufficient contribution in the initial days of your campaign building an initial traction.

Presentation

As crowdfunding is a trending concept today, a lot of projects are launched each day. So your campaign needs to be a different one. As per the analytics, campaigns with a pitch video are more successful than those without them. You should inculcate your story in a video that touches the heart of millions. Try to portray your vision to the crowd propelling them to contribute and share. Another influencing factor is the perks that you wish to offer to your backers. Giving a personal touch to your rewards is always beneficial such as giving credits, early bird offers, customized product or an outing.

Persistence

Uncertainty is the word that defines crowdfunding. It might happen that your campaign which does not record funding of even a single penny gets fully funded in the last few days of the campaign or the one that receives huge contributions at the beginning, fails to attain the target. You must be patient enough to handle the ups and downs of the crowdfunding campaign.

With these essentials, the project owner is most likely to succeed. So whether if you are an entrepreneur, musician, film-maker, or simply an idea owner, planning to launch a crowdfunding campaign, you are ready to launch!

Guest Author: Nikhil Agrawal

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