Crowdfunding tips for an effective fund raising campaign

Written by Startups Help

October 22, 2018

Crowdfunding tips for an effective fund raising campaign

Crowdfunding could be your chance to launch your project and give it a life of its own, and if you are about to go about raising funds through crowdfunding then here are few suggestions that you can surely use for a successful fund raising campaign. We see a lot of neck to neck competition even in the sphere of crowdfunding where there are so many platforms in and millions of people to reach out for funds make it confusing and a gruesome task at first glance. Interestingly this article will help you understand that by taking care of few things you can easily raise funds. Here are crowdfunding tips for a successful fund raising campaign.

Crowdfunding tips for an effective fund raising campaign

1. Choosing a project or the idea
Your very first step to a successful fund raising campaign is to choose a project or a idea wisely, it’s not really easy to let people fund, donate or invest in projects just like that, it needs to be appealing to them. Even if your campaign is for something like donating for a marriage function then you really need to be compelling enough that it hits the financiers at the right place, your conviction in choosing a project for fund raising should be strong starting from you. If you have strong belief that the cause or the project deserves funding then it will get the funding and will attract right people to back the project. Your project should have clear goals and outcomes; a confusing project will repel financiers and will also drop your chance.

Crowd funding tips for a successful fund raising campaign

2. Choosing the right platform (mediator organization)
This step is really crucial as there are many platforms in play out there and it’s very confusing for an individual to choose from thousands of crowdfunding platforms. The best and easiest way to choose a platform should be according to your project, for example if your project is to get donations to fund for medical bills then we guess PactGuru is the right platform for you. Reward based platforms like Kickstater are good for creative projects, but Kickstarter works on all or nothing basis, which means if you are not able to reach 100% of your campaign funding goal then you don’t get anything from the backers who pledged you funds. Now it must have been clear to you that why it is so important to choose the right platform. This will save you from unnecessary task. Same ways like Kickstater there are platforms that are best used if you are looking for investors rather than financiers to be precise and you are ready to share the equity of your company among the investors. For equity based fund raising Crowdfunder is the best available option. We would also like to discuss that each platform works on it unique basis so please do go through the platforms policy before you choose it. Few platforms work on “all or nothing” policy while others may charge you with a percentage of commission likewise the banks, others may have an annual or a registration charge initially. I guess now it is crystal clear as to why choosing a right platform is important at the first place.

3. Presenting your case project
If your presentation for the project is not right then you aren’t getting nowhere in your fund raising campaign journey, it’s not about what your story is instead it’s all about how well you tell your story. There will so many others who may have same creative inclination in the project that only the way you will present your case project will help you stand out and convince backers to pledge for funds. Been authentic but yet convincing at the same time will help your project draw attention of the backers. There are no fixed rules to follow but you can always checkout the platform you’re using as to how others have put up their case. An attractive project proposal will certainly be helpful along with a short video of what’s your project is all about will help give the campaign the right pitch.

Crowd funding tips for a successful fund raising campaign.

4. Choose to offer incentive
Now it may sound counter-intuitive as to why choose to offer incentive to backers for pledging you funds. It is not at all compulsory that you offer incentive to your backers but if you do so will certainly add on to the numbers of people supporting you. The people who believe in you might not even need incentive in the first place but it’s a great gesture that you are also pledging something back to them as a token of respect and thanks, people always welcome such gestures with a warm heart. Now the question is how you can offer incentive to your backers, just to mention few ways, if possible you can always offer the service to your backers from your project, a T-shirt or a hat saying thanks to the backers. If possible you can also ask your financiers to visit your place personally and you can offer vote of thanks in front of the project staff, appreciating your financiers gesture through media is also great way to offer incentive to your backers. These are just a few ways; you could always come up with new and creative ideas.

Crowdfunding tips for an effective fund raising campaign

5. Planning outreach
There is an old saying that goes by if you fail to plan then you plan to fail, this stands true still today. A successful fundraising campaign will never be complete without a good plan for an outreach. Raising money through crowdfunding is all number game; the more number of people you reach will increase your percentage of people interested in backing your project. What you have to do is sit for a while and chalk down your outreach plan. Plan to reach people through other social media platforms like Emails campaign, Twitter, Snapchat, Facebook and blogs etc. Looking at the data the conversion rate of people into financiers out of the total people you reach out is very low so the more number people you reach is better. These people you are reaching out should be able to come to your campaign page so design your outreach plan accordingly.

6. Use the power of conviction
There is a lot of power in conviction and when you do things with conviction then certainly the results are far better than what is expected. First of all your belief in your project will ensure that other too believe in the project. Second and the most important thing after conviction are touching the mind (logic) and heart (emotion) part of the financiers. How this project could change the life others and If you are able to touch both, then no one will stop them to fund your project. May be your dream project is creative one or maybe not. If the other party is convinced then they are convinced they will fund you in-spite of the relation of the project with creativity. For an example there are people who have seen trauma in their homes due long term illness and had borne loss of loved ones, their logical mind is convinced that illness are not good and emotionally it is too traumatizing so such people are more interested in donating for payment of medical bills like cancer and other terminal illness.

7. Updating the campaign page and keeping in touch
Once we launched our campaign page then it becomes our duty to constantly update about recent progress in the campaign this makes us appear that we are sincere in our project and that financiers are investing in sincere and honest people. Much crucial is also keep in touch with our supporters they come first as they are the ones that is supporting our project, we are accountable to them in a moral way, do keep them updated through social media and emails.

Crowdfunding tips for an effective fund raising campaign

On a closing note, more or less we have compiled our best suggestions for crowdfunding tips for an effective fund raising campaign. Hope this will certainly help you out in raising finds for your cause, project, creative ordeal or just raise fund for startup, social enterprise.

we also would like to hear more about your ideas for fundraising, please do let us know in comment section,

Please do also read our blog on fund your startup with crowdfunding. 

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