A simple definition of Crowdfunding is a way of raising money from numerous supporters for a single project or goal. While this definition sounds like fundraising in general, crowdfunding takes fundraising to another level, one that builds a community of people helping with the same end goal: raising funds for a project.
Crowdfunding campaigns use online platforms like IndeGoGo and Kickstarter, as well as hundreds of other platforms available on the Internet. These platforms allow you to have a central place from which to run your campaign, and in return they get a small percentage.
These platforms are where you send your community or “crowd” as you fund your project. A big part of getting the money you ask for your campaign is customizing it. People want to support other people, not just ideas. You can really get behind an idea or project if you like the person running it.
Be sure to express to your audience that you are willing to participate, that you will do whatever it takes to get funding, and then get your project off the ground. Nobody wants to endorse someone who is halfway there. You can’t have one foot in and one foot out, you have to resist.
Tell your followers how you came up with the idea, where did it all come from? Then tell them how you are going to get there and where you are going. Be transparent, be honest and be real. You want to be someone people can trust to give money. Let them see what motivated you to crowdfund in the first place.
Let’s face it, a Crowdfunding campaign puts everything there. Backers will want to know who the person behind the project is; what types of results they can expect to see and in what time frame; what are your plans if you win more money than expected; and why they should even care about your campaign over all others. Crowdfunding is an exchange of money, so the more they feel they can trust you, the more likely they are to support you.
That support can go far beyond dollars. People who join your campaign can spread the word and get others to support your efforts. Social media communication from a few key supporters can propel your Crowdfunding campaign into the “funded” category.