Is your start dying? It is becoming more and more difficult to raise funds for startups. If you are Enough about your start, then you will have the courage to go through difficulties and overcome all the challenges. The question is how to find investment and how to increase your business. Money and Investment standards can change the future of your start, so you need to think twice before searching for traditional seeds, applying for bank loans, or launching crowded funding campaigns.
Being rejected by potential investors may be very disappointing, Especially at the early stages. That’s why you start considering the idea of ​​creating Crowded funding campaign. But, do you really need it? In this article, you will find more information about the crowded funding, how to start a crowded funding campaign, and what you can expect from it.
What is crowded funding?
Crowd funding gives you the opportunity to raise funds with the help of ordinary people, or ordinary people who like your idea or business and want to help you develop. In other words, it is like a large pond of individuals who are ready to start a small amount of money in a startup or business idea. Many campaigns are based on rewards, so investors get a gift or something in return for their participation.
For example, OCOLS VR Million collected more than 2 million in 30 days, after which Facebook bought it for $ 2.3 billion. Is another successful example TileA Bluetooth tracker that meets the keys, wallets, and Other everyday things in seconds. Within 24 hours of the launch of the campaign, he raised his target K 200K and collected 6 2.6 million.
It seems that crude funding is a miracle for startups, which is an easy way to invest. But, unfortunately, not all startups are successful. Many crowded funding campaigns fail. In fact, 70 % of the campaigns do not reach their goals. But, even if your campaign fails, you may still have some benefits.
What can you get from a crowded funding campaign?
First, crowded funding is an alternative opportunity to raise money for your start.
This is a safe and low risk solution. Through pre -sale, you can reduce the financial risk of your business and receive revenue.
With a smart crowded funding campaign, you can significantly increase your brand awareness and get exhibitions.
Make your audience and get feedback from them to improve your products.
Cooperation opportunities and new partners.
Crowded funding defects
The establishment of a crowded funding campaign can be sought and additional financial resources are needed.
You may fail your campaign by not reaching your target and returns all the investment money.
Failure can damage your starting reputation.
If you are not protected by a patent or copyright, someone can steal your idea/project.
How to start with a crowded funding campaign?
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After considering both the benefits and defects of crowded funding, you need to decide whether you want it or not. If you think your startup needs a crowded funding campaign, then pay full attention to the rest of the article, as you will learn how to make a successful crowded funding campaign.
Follow these 8 steps to start your campaign:
Explain your purpose
The success of your campaign depends on the extent to which you clearly explain your goal. You have an idea or business and you need to collect money money for its development. Change your idea into a goal by explaining a purpose, which is different, how different it will benefit from, and how much you need to invest.
Do the market research and find your target audience
Explaining the achievement goal you, you need to research market research and get more information about your target audience. This will help you to demand your product and understand the needs of your potential customers. If you know your audience, it will be easier for you to reach them and get their support.
Choose a crowded funding platform
There are several The crowded funding platforms such as Indigo or Cook Starter where you can launch your campaign. These platforms help you manage your campaign, share your information, videos, reviews and all the necessary information about your plan. Depending on the services and results provided, they will have a fee of 10-15 %.
Prepare a perfect video pitch
What is the best way to offer your idea or product? Of course, a unique and informative video. According to Cook Starter, Video projects were financed Compared to a 30 % rate of projects, at a very high rate of 50 of, which was not one.
So, how make a great video for your crowded funding campaign?
Keep it short, up to 2 minutes,
Get your audience’s attention at the beginning,
Use to keep visuals engaging,
Tell your story,
Choose the correct music,
Add call to action.
You can also create dynamic explanators videos, which can be very effective for presenting your product or ideology. Save your time and resources L you, you can use Video maker Tools that offer readymade video templates.
Create a landing page to make your email list
Why do you need an email list exactly? Placing a list of people interested in your product will make you easier to contact them and keep them updated. To submit these emails, you need to have a basic landing page with all your information about your project and your offer.
Your landing page should have clear headlines and detail, high quality images and a form. To make this more informative, you can add your video pitch and some users reviews. Then, you need Promote your landing page To drive the traffic in it. Once people fill the form, they will appear in your email list, and you can contact them directly. When you start your campaign, you need to work first to send people email from your email list.
Reach journalists and influence
Another effective way to reach your target audience is to be exhibited through journalists and influence. So, you need Make a list of media contacts Which can be interested in sharing your plan. Start by finding media outlets or blogs related to your business and add them to the list. After that, find the right contacts and influences to connect and send your application. Develop your access strategy, test it and keep your list latest.
Make your audience on social media and keep them busy
After explaining your target audience, you need to create content that will be interesting to them. Make your pages on various social channels and start sharing content in terms of your audience’s interests. Choose channels where your audience is more dynamic and don’t forget about the call -to -process. Plan your social media strategy in advance, as there are plenty of time and effort to make and engage the foundation for an active fans.
Start your campaign
Are you ready to start your campaign? After all preparations, the time has come for you to start your campaign and see the results of your hard work. When you are waiting for an investment flow, don’t forget to share news and updates with your email list.
What does your audience buy on the 1st day of your campaign? Simple urgency and feeling of excitement. Keep your audience excited by making special offers or rewards. It all depends on you and your creativity.
Conclusion
It doesn’t matter what stage you start, an investment can help you promote it and keep you on track. But, before you make all your efforts to find investors, keep and think about alternative ways of financing. Crude funding can be a great solution to your start. It has both benefits and defects, so you need to decide whether you need it or not. And, if you have decided to launch a crowded funding campaign, follow the aforementioned steps to ensure that you perform it correctly.