Maybe you think that only tech entrepreneurs with cool, fully developed product prototypes and large PR agency budgets get funded on crowdsourcing sites like Kickstarter. So how can you start your own business and use crowdfunding sites to your advantage?
Frankly, if you’re like me, you don’t like reading their success stories because they make you jealous and frustrated. 🙁
Setting up campaigns are complicated and a lot of work that you don’t want to invest if you are not going to get any returns. You can’t afford to waste time now that you are so busy starting a new business.
Also, you get stalled because you feel that you can’t write or take good photographs due to your creative limitations and I don’t have a logo or prototype yet.
And there is a lot of pressure because if my idea or brand is not fully formed, I could negatively impress the marketplace with a less than professional listing. Plus I don’t want to get my business idea stolen by a competitor before I even get launched!
So what’s the point of going through all the hassle, time, effort and social campaigning to set up a crowdfunding campaign if you don’t get any startup funds?
>>Save on LLC and Corporations Legalzoom Discount Code BEST4B
Think again.
Crowdfunding is precious for every entrepreneur in lots of ways besides cash.
Its greatest value is NOT in the money it generates for startups it is the priceless knowledge, confidence, and contacts for your startup venture. Launch a campaign on any one of these business crowdfunding sites, and you will get paid, guaranteed, in dividends of business plan development, focus group market data from customers, growth in you, the entrepreneur’s skills plus boost your confidence and impress and attract partners investors.
I recommend you set up a campaign to get funded as a secondary goal and its primary purpose. Sure it will be nice if you get some supporters, boosters and some startup funds but the greater value of crowdfunding sites is far more valuable to us as startup entrepreneurs.
Concept Clarification
During the process of the campaign setup, you will think through your product line more and polish your business plan and value brand message in positive ways. You will simplify and focus on your unique selling proposition by creating your profile as you attempt to “sell” investors who are just pre-launch customers.
Develop Learning Skills
Also, you strengthen your learning muscles by taking courses or watching tutorials on how to write value propositions, describe your product more accurately and hire a prototype illustrator. The important process of learning how to go out and get the information you need to succeed in your new business is vital for both your startup now and your continuing success later. All successful entrepreneurs are lifelong learners. You need to develop your ability to source information and gain new skills to launch your small business and succeed.
The important process of learning how to go out and get the information you need to succeed in your new business is vital for both your startup now and your continuing success later. All successful entrepreneurs are lifelong learners. You need to develop your ability to source information and gain new skills to launch your small business and succeed.
Customer Focus Group
This is a real-world focus group of prospective clients. Corporations spend tons of money creating controlled focus groups for their new products; you are doing the same when you begin a crowd funding campaign. It is a marketing analysis in action since you need to describe your product and its unique properties and benefits, show a prototype or illustration with your specific features to gauge the marketplace reaction. You will be able to talk with your prospective customers and get gems of marketing data that will improve your product and brand message.
It is a marketing analysis in action since you need to describe your product and its unique properties and benefits, show a prototype or illustration with your specific features to gauge the marketplace reaction. You will be able to talk with your prospective customers and get gems of marketing data that will improve your product and brand message.
Showcase to Investors
Many venture capitalists and business investors browse through these crowdfunding sites to find new startups to fund. By you having an active crowdfunding campaign you could be one of the next those chosen firms by these VC angel investors. No longer are your business dreams inside your head they are being showcased to the world.
Also, you impress possible investors and partners you pitch by showing them that you are proactive and have already set up your crowdfunding campaign. I recommend that you do this before you begin pitching investors both to crystallize your proposition and to practice your pitch. This demonstrates your initiative and confidence to proceed. Most likely investors don’t want to be the very first one on board a new venture, by setting up a crowdfunding campaign you are simulating initial investors and your partners become secondary investors.
Most likely investors don’t want to be the very first one on board a new venture, by setting up a crowd funding campaign you are simulating initial investors and your partners become secondary investors.
Don’t overly depend on crowd funding campaign as your only source of start-up funds. It is unwise to only pursue one funding Avenue. Use it as part of a composite campaign of many startup funding options.
Confidence Booster
One of the best benefits is it communicates to yourself that you’re serious about starting a business. It boosts your confidence – which every entrepreneur needs regularly. You can look at your listing and see in black and white, your ideas and your dreams online, which is the first step to make it a reality. No longer will you have nothing to show your friends when they ask what’s new in your business startup. Now you can give them the URL of your crowd funding campaign both for them to possibly invest and also as a conversation starter. Many of business has been funded through a social conversation started in a coffee shop.
No longer will you have nothing to show your friends when they ask what’s new in your business startup. Now you can give them the URL of your crowdfunding campaign both for them to possibly invest and also as a conversation starter. Many businesses have been funded through a social conversation started in a coffee shop.
So put aside your old ideas of views of crowdfunding campaigns as labor-intensive, overly competitive sources of startup funds and instead see it as an exercise in entrepreneurship. Proceed and glean its true value that is more precious than mere cash – which can come from other sources such as our recommendation Kabbage business loans reviews