Is Crowdfunding a Sustainable Model? A Case Study

Crowdfunding Experiences. How to make Crowdfunding a Sustainable Model?

by @martijnaretswww.collaborative-economy.com

#CSWEurope

- positive reviews

- good sales

- nomination ‘best

entrepreneurial book of

2011’

- best book of the summer of

2011- 150+ publications

What do I need?1. bank2. publisher3. bookstores

IF YOU THINK YOU’RE TOO SMALL TO HAVE AN IMPACTTRY GOING TO BED WITH A

MOSQUITO IN THE ROOM.....

CROWDFUNDING- donatie

- presales

- lening

- equity

CROWDFUNDING- donation

- presales

- loan

- equity

CROWDFUNDING- donation

- presales

- loan

- equity - 20.000euro

- 20% shares

20 euro per share

1 share = free e-book

2 shares = free book

25 shares = one hour advice

125 shares = presentation

+ BECOME PART OF AN ADVENTURE

short term reward

V.A.T.??!?!

20 euro per share

1 share = free e-book

2 shares = free book

25 shares = one hour advice

125 shares = presentation

+ BECOME PART OF AN ADVENTURE

short term reward

V.A.T.??!?!

long term reward

shareholder in a cooperative UA (no risk)7.000 books sold = break even (after taxes)

171investeerders

and

then…..

banks

accountants

notary

tax‘service’

and

then…..

banks

accountants

notary

tax‘service’

Book BV

Book cooperative UA

Brand Expedition

Consultancy

20.000euro

100.000euro

80.000euro

and

now... ‘how individuals are empowered to organize themselves’

nobody thought about-valuation?

-businessplan?

-capabilities of the entrepreneur?

-regulations?

-protecting investors?

-etc.

-etc.

-etc.

-verschillende disciplines-werkend vanuit thema’s-onderzoek en zelf DOEN

- 20.000euro

- donation / presales

- 2 months

- 50 donors

Main goal: to built a crowd

-verschillende disciplines-werkend vanuit thema’s-onderzoek en zelf DOEN

- 20.000euro

- donation / presales

- 2 months

- 50 donors

3.000euro+ stretched goals to 20.000 primary goal: the interview!

crowdfundinglessonslearned……(and some food4thought)

uhm…. and… YES,

I am a fan of

crowdfunding!

for project owners

#1WHY do you think that people will give you money?

#2Who is your target group for your product/service? (and where in the world are the situated?)

#3Determine your funding goal. Feels like…..*

#4To overfund or not to overfund….

- @MartijnArets

#5Don’t expect too much personal attention from a platform.*

for crowdfunding in general

#1Responsibility platform. Trust in the brand.*

#1Responsebility platform. Trust in the brand.

Kickstarter 6 months

open for Dutch

projects

75%

failed!

#2Check businessplan and skills of the project owner?

#3Protect investors: do they know what they are buying? (and at what risk?)*

#3Protect investors: do they know what they are buying? (and at what risk?)

‘kickstarter is not a store’

warn investors?

do you want to have

an investor who

invests 20euro?

#4Businessmodel platform?

2 most important lessons learned

#1Look at the bigger picture.*

#1Look at the bigger picture.

1st crowdfunding campaign:-running campaign > 400 hours x 150euro =

60.000euro- after campaign > 200 hours x 150euro =

30.000euro- accountant, lawyers, etc. = 15.000euro

- break down construction = 25.000euro

#1Look at the bigger picture.

1st crowdfunding campaign:-running campaign > 400 hours x 150euro =

60.000euro- after campaign > 200 hours x 150euro =

30.000euro- accountant, lawyers, etc. = 15.000euro

- break down construction = 25.000euro

130K

‘spent’ to

get 20K

#1Look at the bigger picture.

1st crowdfunding campaign:-running campaign > 400 hours x 150euro =

60.000euro- after campaign > 200 hours x 150euro =

30.000euro- accountant, lawyers, etc. = 15.000euro

- break down construction = 25.000euro

130K

spent to

get 20K

Bigger picture:

- ambassadors- publications- extra presentations & consult

- higher rate- ‘Best Dutch entrepreneur of 2011’

- 40under40-TEDx Kalamata

#1Look at the bigger picture.

1st crowdfunding campaign:-running campaign > 400 hours x 150euro =

60.000euro- after campaign > 200 hours x 150euro =

30.000euro- accountant, lawyers, etc. = 15.000euro

- break down construction = 25.000euro

130K

spent to

get 20K

Bigger picture:

- ambassadors- publications- extra presentations & consult

- higher rate- ‘Best Dutch entrepreneur of 2011’

- 40under40-TEDx Kalamata

#2

do it!

#2

do it!

-ToDO:-invest next 2 months in

at least 20 projects on 20

different platforms-crowdfund your next

birthday present at

Kickstarter

and the great thing iswe all have an idea, a vision, a meaning on this subjects, but NOBODY has THE answer.

join the expedition!

@martijnaretswww.collaborative-economy.commartijn@collaborative-economy.com