The new JOBS ACT created favorable laws to raise money via crowdfunding. FundMeFundYou Crowd funding is a free powerful fundraising tool for financing a start-up business or worthy cause. An established business can crowd-fund to raise money for their financial needs as well. For example, crowd fund to open another location, purchase new equipment, or launch a new product. The key benefits of crowdfunding for small businesses, individuals and organizations are as follows:
- Crowdfunding Creates the Buzz. A crowdfunding campaign creates immediate exposure, and awareness for your idea, product, service, or cause.
- Test market your idea with Crowd funding. Crowdfuning projects can serve as a litmus test to evaluate whether an idea is viable, or popular and / or whether your social media marketing efforts are effective.
- Grow your market. Create a new customer base or increase your existing fan following. People who contribute to your campaign are your most enthusiastic fans. These loyal super fans will promote your crowd funding event, increasing your funding, while helping grow your customer bases.
- Free cash infusion. The earned extra income from the funds you’ve raised is the ultimate benefit; with the extra money you can achieve your desired funding goal.
- You are always in control. You retain 100% ownership and control. You don’t have to sell any equity in you company or part with your invention or idea.
If you’re ready to start fund raising, select the start button below to view our Quick Start page. Or read more about crowdfunding for food start ups at Crowdfund a Food Product / How to Crowd fund a Food Truck Business
As with everything good, crowdfunding has disadvantages. There is no guarantee that you will raise your targeted funds. Also, if you do reach your funding goal there is no guarantee that your business will succeed. If you are launching a new product you lose the element of surprise, since your information will be public for all to see, including the competition. All things considered, the benefits outweigh the disadvantages, especially when you consider the other funding alternatives, e.g., bank loans, venture capitals, and no alternative.
Surprisingly, despite the current tough capital markets, according to a September 2012 survey sponsored by credit agency Experian, 69 percent of the 300 businesses surveyed never heard of crowdfunding.
We don’t see Crowdfunding replacing traditional forms of financing. Established companies, businesses, and individuals with good credit scores will always have access to bank loans. Venture capitalists to will have the pick from the litter amongst unique, and highly sort after business models. We believe as crowd funding continues to evolve, it will play a vital role in the financing mix, especially for seeding startups that would otherwise not have a chance to exist.
About FundMeFundYou. We make it easy for you to raise money to fulfill your desire. We are an online community connecting people and organizations in need of capital with people who are willing to contribute to a worthy cause. We offer a crowdfunding service for all, with a special focus on Food-service, Food media, Beverage & Hospitality businesses. Tens of thousands of people raised money using Crowd funding. It’s free, legal, easy and very effective.
Crowd Funding Made Simple is a low cost $2.99 ebook that contains all the important information you need to succeed and raise money with crowdfunding.