Getting investment for an idea or a cause is now easier than ever. With crowdfunding, any individual can pitch their project to the online platforms, which can bring them funds based on how many people are interested in their project. Small businesses and organisations can benefit from crowdfunding by reaching out to a group of people asking for their support.
You can choose from the three types of crowdfunding to ask for funds. The first is reward crowdfunding, where you offer a small gift or your product sample in exchange for a fund. The second is debt crowdfunding, where you take a loan and pay it back after a specified time period. The last one is equity crowdfunding, in which you offer a part of your company’s ownership to the funders.
The crowdfunding platforms also charge their own fees for hosting your project. While some charge fees for each fund raised, others take an amount from the overall earnings. There are some websites which offer all or nothing model which only gives you the funding when you reach your intended goal. Here are the three best crowdfunding platforms for all kinds of ideas and causes.
Indiegogo, unlike Kickstarter, is not an all or nothing platform and offers flexible funding. You can take out your money anytime you want, even when you do not reach your goal. Indiegogo campaigns are primarily meant for tech innovations, community projects, and creative works. User can choose between fixed and flexible funding. You can use fixed funding if you need a certain amount of money for your project, or you can use flexible funding for benefitting from any funding that you receive. With fixed funding, the funds will return to the donor if you do not meet your goals.
It is one of the most popular platforms for entrepreneurs who are looking for funding for their projects. The projects can vary from technology to research to art to even NGOs. Before you can launch your fundraiser, you will need to submit your entire project to Kickstarter. Once they approve your project, it will be displayed on their website. For each goal that you achieve, you need to set a gift or a personal demo for your donor. Kickstarter is an all or nothing platform.
Causes is the best platform for non-profit organisations to raise funds for charity campaigns. It is the world’s largest online campaigning platform which is dedicated to social, political, and natural causes. It is a social network for those who want to make a difference in the world by spreading the right awareness and help. You can use your page to collect funds, create awareness, and to interact with people with common interests. Individuals can also introduce their ideas and create a network to raise funds for their projects.