One of the best ways for a business startup to raise funds is through Kickstarter.
Kickstarter is a crowdfunding site that allows business owners to raise money to complete projects. As a business owner, you can ask for money from a wide variety of people, and the power of numbers can provide you with the funds you need.
It’s important to note that Kickstarter requires you to have a specific project in mind. This isn’t a site that goes in for general “fund my business” type queries. You need to be developing a specific product or idea.
Here are 5 tips to make your campaign more successful:
1. Offer Attractive Incentives
Think about what incentives are likely to draw interest in your project. The general practice is to offer progressively more attractive rewards at different funding levels. Whether it’s including your name on a special thank you page for a $1 contribution or offering a free product, the incentives need to be attractive.
2. Be Personable
When it comes to crowd-anything, you really need to let your personality shine. In many cases, people are buying into your story — not just the product. Make sure that you tell it. Be genuine and sincere, and you’ll get more people interested in your project and in helping you reach your goals.
3. Understand the Funding Process and Timeline
Realize that with Kickstarter (and many other funding platforms) you have a time limit for reaching your goal. In the case of Kickstarter, it’s an all or nothing proposition. You either reach your goal, or you don’t get any of the funds. Other crowdfunding platforms will give as much as you raise.
Know the rules associated with raising the funds, and be aware of the timeline involved. You won’t get the money immediately following a successful campaign, so be prepared to wait a couple of weeks. Plan your timing based on that information.
4. Make a Video
Create a video for your project; the audio/visual element can really help your campaign. Plus, it helps potential backers feel as though they’re getting to know you. If you want to boost the chances of a successful Kickstarter campaign, you need a video. You don’t have to go overboard and spend a lot on it (unless you’re raising money for such a production); something heartfelt and simple is usually enough.
5. Promote, Promote, Promote
Finally, you need to promote your Kickstarter campaign. You have to be willing to put it on social media and let your network know about it. You can’t lag or fail in this area, either. The first week or so is usually great, as there’s a lot of energy and interest. Then, as the campaign progresses, things slow down. If all you do is rely on the initial push, you might not have enough to get you through your campaign and to your goal. Keep promoting it throughout the entire process.
Have you tried crowdfunding? What are your best tips for raising funds for your business?