Finding the cash to start a new business is a huge hurdle for most budding entrepreneurs. As we noted in our previous post, crowdfunding can provide the capital you need to get started. Numerous crowdfunding sources are available on the internet, but finding the one that’s the best match for you and your new business may take a little online research. Here are two top-rated sites you might want to explore:
- Kickstarter is well-known with more than 13,000 successful fundraising campaigns under its belt. Its focus is on artistic, handmade and innovative new products with an artistic flair but only accepts 60% of its applicants. Kickstarter is a good funding source for artists, designers and crafts people (woodworkers, metal smiths, print artists, carpenters, weavers, potters, etc.). Look into Kickstarter if you are creating handmade household goods, decorative pieces, jewelry or fashion items. You’ll get 60 days to achieve success on Kickstarter which will keep 5% of funds raised if your campaign is successful. You’ll also be charged a 3% to 5% contribution processing fee.
- IndieGoGo is open to entrepreneurial projects of any kind. If you’re competitive and have a unique idea or product, IndieGoGo offers you exposure and the opportunity to attract sponsors. However, because the site accepts all comers, you’ll be competing against a huge field (as many as 10,000 or more other projects and requests for financial aid) which means you’ll have to work harder to attract attention. For your chance at the money, you’ll have a maximum of 120 days to reach your funding goal and will have to pay the site 4% if you reach your goal; 9% if you don’t, plus a 2.9% payment processing fee.
For more information about crowdfunding and crowdfunding sites, visit the Zoondy Daily and click the crowdfunding tab.