When you have an idea for an invention, one of the biggest deterrents can be a lack of money needed to make it a reality. This is often times discouraging, and can cause you to shelve your ideas indefinitely- but don’t be disheartened. The good news is that today inventors can raise the funds they need, and they don’t even have to leave their house. How is this possible, you ask? One word: Crowdfunding.
Crowdfunding is the practice of funding a project or venture by raising small amounts of money from a large number of people online. This is usually done through crowdfunding websites such as Kickstarter and Indiegogo.
In order to start a crowdfunding campaign online you need to set up an account with one of the crowdfunding companies. The first step in setting up your campaign is to share the story of your project and how you’ll be spending the funds. Once you set up your campaign it is advisable to share photos, videos, and as much information as you can so people know what they’re investing in.
Another step in posting your campaign, in most cases, is to specify tangible rewards based on the various amounts of funds that a person pledges. The greater the pledge, the more valuable the reward.
It’s important to note that there are mainly two different types of crowdfunding campaigns:
- The ‘all or nothing’ campaign. This is where you receive the funds only if you reach your financial goal.
- The ‘receive everything’ campaign. This is where you receive all funds whether or not you reach your goal.
There are advantages and disadvantages to each one, and it’s really up to you to study and determine which campaign suits your needs the best.
Another step in setting up your campaign will be to specify a time period for the crowdfunding campaign. Be sure to give yourself a realistic time period in which you think you can raise the money.
Once you launch your campaign, it is all about driving traffic to your crowdfunding page. Many campaigns fail because they expect the crowdfunding company to get the word out. It is up to you to promote your campaign.
Nobody will know about your campaign unless you are actively spreading the word. Be sure you share your campaign on social media as well as traditional media, email marketing, and word-of-mouth to increase the chances of your campaign reaching (or even exceeding) your goal.
Good luck, and happy crowdfunding!
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