Crowd funding platforms can be a useful way to raise funds. Broadly, they enable lots of people (the crowd) to contribute money to support a project. But you need to ensure that the crowd funder you choose is relevant to the type of activity that you are undertaking and the outcome you want to achieve.
There are four basic types of crowd funding platforms; rewards-based, equity, peer to peer lending and donations. Platforms are often geared to specific activities. For example, if you are trying to raise funds (donations) for a social or charitable cause, you may choose Go Fund Me or chuffed.org. If you are looking for funds for creative projects patreon might be your platform of choice.
For product, innovation or business development you could try kickstarter, pozible or indiegogo.
For equity crowd funding you may consider birchal or equitise and for peer to peer lending you could try SocietyOne or mozo.
These five questions can help you choose the right platform.
- Have you researched the most appropriate platform for your particular activity and compared the various offerings?
- Do you understand the terms and conditions, how it works, your role and the fee structure?
- Is it easy to use, functionable, secure and accessible via different devices?
- Is it easy to promote your campaign with the tools and advice provided?
- Is there customer support and help?
Need help with other funding sources? Contact INNOVIC on (03) 8060 3504. INNOVIC can also help with getting your new idea to market.