Crowd funding is the latest platform for people to raise money for setting up a business or charity or for medical expenditure. This newest source of money pushes behind some of the traditional sources like family and friends, venture capital and business angels. Plenty of online funding websites have sprung up after the Jobs Act was passed to help start ups and small businesses meet their funding requirements.
Read through this article as I tell you about some of the popular Crowd Funding websites that are helping people raise money as well as some tips on choosing the right Crowd Funding website.
Choosing the Right Crowd Funding Website
Now that you have decided to take the help of fund raising websites, make sure you create an effective campaign. Gathering crowd for fund raising campaign is as important as the fund raising goal. An effective campaign and exposure on social networking platforms are the ways to raise the target fund.
Kickstarter is rated as the No:1 crowd funding website for online funding.
This website is for people with creative projects. Artists, musicians, filmmakers, writers and the like can submit a project on this website. When the project is fully funded and the goal is achieved money changes hands. Kickstarter insists the project creators acknowledge their backers with rewards for the support received. Fund raisers can offer rewards to their backers anywhere from $1 to $10000 and avoid coupons or discounts or repayments as rewards. Project creators can share their project with friends by sending a link to anyone and ask them to join the crowd.
Payable invites people having innovative ideas to share with the crowd and convert it to a reality.
Small and medium-sized businesses who will find it difficult to spend around $10,000 for web development single handed can head to Payable and post their fresh idea for fund raising. Other businesses interested in the similar idea can join the idea creator and get the idea developed for them too. The cost required to develop the project is shared among people who are willing to create a similar project instead of working as an individual. Payable selects the most viable popular ideas and invites bids from freelance programmers to determine the project development cost, thereby chooses the development team to complete the project. Then the project opens for online funding and any member of Payable can pledge an amount towards the development cost. When an idea has been successfully developed and tested, it is available for sale at Payable and the funders will receive a copy of the software for free. Funders also receive a share of profit from the sale of the software to customers.
Payable offers software products and services made by freelancers like clone websites, new websites and mobile applications for your android phone and iphone. Services include website design, web hosting packages, logo design, malware removal, consultancy service and more.
RocketHub is a crowd funding website that supports emerging artists, entrepreneurs and philanthropists to raise funds.
People who want to raise money by launching a crowd funding campaign or discover opportunities can seek help from this website. Visitors or donors can contribute towards a project, vote for an opportunity and share the project with others. This website recognizes both the project creator and the fuelers(donors) in the form of virtual rewards. Each of them gets a badge in response to their task completion, dedication and success.
Looking to raise funds for your company?
Make sure the Crowd Funding website has enough security measures like escrow services and provides legal consultation as you will be sharing a lot of sensitive information with investors which needs to be safe. Study the type of investors who have invested in the crowdfunding website you intend to seek help from. You need to watch out for businesses which are seeking help through the Crowd Funding website. If the Crowd Funding website has high quality businesses as users, then you will be able to establish contact with good investors.