CROWDFUNDINGAlternative Financing Strategy

Another form of Social

Media

Crowdfunding

How many of you have heard about

Crowdfunding?(show of hands)

Crowd funding or crowdfunding is the collective effort of individuals who network and pool their resources, usually via the Internet, to support efforts initiated by other people or organizations.

What is CROWDFUNDNDING?

Crowdfunding bills introduced in Congress and endorsed by the President. Their first bill passed the US House in November, 2011, 407-17 and the US Senate on March 22, 2012 as part of the JOBS Act with a vote 73-26.

CROWDFUNDING BILLS

Medical ExpensesLaunching a BusinessCreative ProjectsSportsPolitical CampaignsLocal Community ProjectTravel ExpensesSoftware development

RAISE MONEY ONLINE FOR THE FOLLOWING:

Business crowdfunding – a product is produced. I.e. book, music, software, film and the crowd lends money to the project. In return, the investor will receive rewards for investing money in the project. The reward could be a T-shirt or name on the project.

BUSINESS CROWDFUNDING

Not just about the money1) You can raise money2) Engages and involves people with your business or project3) You retain creative control4) Direct access to an audience5) Promote and market your

services and products6) You can actively advertise your product

CROWDFUNDING BENEFITS

You can build your site on different platforms that are equipped with templates to help you design your site!

Here are some examples

You can do it yourself

THE BIGGEST PLAYERS

CROWDFUNDING PLATFORMSTemplates to help you build your site

indiegogo.com

Campaigns appear to have garnered more support in 2012, raising an average of 20% more than projects did in 2011. Successful campaigns took an average of 11 days to prepare for their launches. The most successful campaign, "Let's Build a Goddamn Tesla Museum," raised an Indiegogo record of $1,370,461 in total funding.

INDIEGOGO STATS

Platformwww.Kickstarter.com

Rocket Hubwww.rockethub.com

www.quirky.com

Music – Sell A Bandwww.sellaband.com

www.newjelly.com

What you need to consider when

developing a Fundraising Platform

Fundraising Platform

HOW MUCH MONEY DO YOU NEED TO RAISE?

HOW MANY DAYS WOULD YOU LIKE TO RUN YOUR CAMPAIGN?

WHAT PLATFORM WOULD YOU LIKE TO USE?

WHAT IS THE TRANSACTION FEE FROM YOUR FINANCIAL INSTITUTION.

WHAT WILL BE YOUR PERKS AND INCENTIVES?

FOR A SUCCESSFUL CAMPAIGN ASK THE FOLLOWING QUESTIONS:

1) Be aware of the strengths and weaknesses2) Benchmark and compare your product to others campaigns3) Take advice from other Crowdfunders4) Build clear and strong call to actions and convey a sense of urgency5) Establish early why your campaign/cause is unique and why people should support you

WHEN CHOSING A PLATFORM

The action list1) Understand your target audience2) Generally your pitch will consist of written narrative and video3) What type of an approach will you take to promote your message, i.e. Funny, to the point, etc.4) Discuss and test your approach with others to get their response5) Decide on the marketing approach and advertising strategies for your campaign

DEVELOP A CAMPAIGN

1) Be aware of the strengths and weaknesses2) Benchmark and compare your product to others campaigns3) Take advice from other Crowdfunders4) Build clear and strong call to actions and convey a sense of urgency5) Establish early why your campaign/cause is unique and why people should support you

When Choosing a platform

6) Select social media channels to incorporate7) Can your prospective backers share your campaign with others8) How will you further promote –through a website 0r a blog9) How can you make your campaign exciting and unique

When Choosing a Campaign (cont.)

Why would people want to connect to your business or project1) Greater purpose to the campaign2) Creative display and presentation3) Emotional return and connection to the next great thing4) Showcase your product before it gets to market

CONSIDER THIS

STRATEGY

PREPARATION

WORK

AN INTERESTING CONCEPT TO BE SUCCESSFUL!!!!!!!

CROWDFUNDING PROJECT REQUIRES

EXPECTATIONS

CROWDFUNDING CHECKLIST