8 Best Crowdsourcing Sites to Fund Your Business Idea in 2022.Top 8 crowdfunding websites for raising capital in 2022.crowdfunding platforms.
Crowdsourcing sites like Kickstarter are becoming more popular because people are constantly looking for something better. Your business idea may be exactly what someone has dreamed of for years. Whether you are into game development or designing next-generation smartwatches, you can find someone investing in your ideas through crowdsourced sites.
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If you have a business idea that you believe in but cannot fund on your own, a crowdsourced site is the best solution. However, not all of them have large enough communities, and some of them impose many restrictions. In this article, you will find out which crowdsourcing site is best for funding your project and bringing your business idea to life.
1. Kickstarter
You’ve probably heard of Kickstarter because it is one of the first successful crowdsourcing platforms to come to life. This site has helped launch over 210,000 projects with millions of sponsors. It is one of the largest and most diverse fundraising platforms. Easy access to millions of potential investors makes Kickstarter one of the best options out there.
Kickstarter campaigns are set up with a reward system. First, you offer your sponsors various incentives in exchange for their financial support. You can create reward tiers that range from a personal thank you to a T-shirt and even exclusive items. For example, for serious investments, the author may offer a unique reward – to name the character in his book by the name of the sponsor.
However, Kickstarter is an all-or-nothing deal. You need to set a goal and achieve it; otherwise, you will not be able to access your funds. If you fail to reach your fundraising goal, your sponsors will get their money back. Make sure you start networking early to get started with a core of followers and fans.
2. Patreon
If your business idea involves creating any kind of content, Patreon might be the perfect crowdsourcing site for you. Patreon is unique in that it is creator-focused. This is where fans collect funds from artists, writers, youtubers and musicians.
Unlike other crowdsourcing sites like Kickstarter, you don’t have to wait for a funding campaign to end in order to access your funds. Instead, your patrons can pay a monthly subscription in exchange for certain benefits or services, or pay to create. For example, if you’re a writer, a patron might pay monthly to read your work chapter by chapter as it progresses. You can also offer exclusive content, branded merchandise, and other rewards by setting different payment levels.
3. Indiegogo
Indiegogo is often compared to Kickstarter due to its crowdfunding system and popularity. When you first look at it, it may look like a Kickstarter under a different name, but it has a few unique options. Also, if you have enough time, you can organize a crowdfunding campaign on both platforms.
Indiegogo allows you to start a fundraising campaign with a specific goal. This means that you need to reach that goal by the deadline before you can access funds. Sounds familiar? What sets Indiegogo apart from others is its flexible funding option. You can set a flexible funding target instead of an all-or-nothing target.
A flexible option is ideal when you know you can provide your product or service even if you don’t raise a set amount of funds. Instead, you simply use the funds as one of the funding sources.
Plus, you can continue to raise capital even after the campaign ends. This is useful if your business is going through different stages such as design, testing, and final production.
4. Crowd Supply
In the world of intangible apps, it’s nice to see a hardware crowdfunding site. This is exactly what Crowd Supply is. He helps fund hardware projects that are often overlooked due to the passion for software development.
Whether you are a designer or engineer looking for the means to create a useful product such as a LiDAR camera, an innovative keyboard, or a dedicated robot motherboard, Crowd Supply is the best place for you. Choosing such a specialized platform helps you stand out from the crowd, because everyone is interested in the hardware and nothing else.
However, launching a campaign is a little more difficult than on other platforms. Crowd Supply demands innovative and useful products. You also need to have a working prototype first in order to present it to the Crowd Supply campaign manager. Based on how you answer any of their questions, they will determine if the project is platform-compliant.
5. Fundable
Fundable is a crowdsourcing site that helps entrepreneurs turn their ideas into new businesses. At the moment, only US startups are eligible to apply, so if you’re not from the US, try one of our other recommendations.
Fundable offers two fundraising options. You can raise funds by selling your products or services or by offering investors stock in your company. Fundable recommends the first option for startups looking to raise less than $ 50,000, and the equity option for raising capital.
Fundable is similar to the traditional fundraising method. You need to show potential investors a business plan, a track record of sustainable growth, and prepare the best offer you can collect. The downside is that you will need to pay $ 179 per month to start a campaign if you only pay commission after fundraising on other crowdsourcing sites.
6. SeedInvest
SeedInvest is similar to Fundable in the sense that it is a stock crowdsourcing site. Your backers are investors looking to buy your company and own shares. They are not just fans or supporters. They will own part of your company. So think carefully about what that means before you spend time setting up your campaign.
SeedInvest has been helping startups since 2012, building a network of over half a million investors. You will find both ordinary people and accredited investors looking to fund the next disruptive business. You will need to submit an application, go through a verification process and, if accepted, you will be able to launch your campaign.
Please note that most of the companies receiving funding are in the tech and e-commerce industries. If your product or service does not fall into these categories, then you should focus your efforts on other crowdsourcing sites.
7. Mightycause
Are you trying to create a non-profit organization that is trying to solve one of the world’s countless problems? Mightycause might be the best fundraising platform for you.
This crowdsourced site is easy to use and you don’t need to achieve any goals to unlock the funds you have raised. Even if you do not achieve your goal, you can keep the funds received from donors. Another advantage is that you don’t have to go through an exhausting review process. Just start your non-profit fundraising campaign and work towards your goals.
Before you get started, keep in mind that Mightycause charges an annual fee of $ 59 per month.
8. GoFundMe
GoFundMe is one of the largest crowdsourcing sites due to its simplicity and flexibility. Anyone can organize a fundraising campaign. It is primarily aimed at helping individuals, but small businesses can also benefit from this.
As the name suggests, GoFundMe is not for commercial projects, but for local businesses it is a good option to reach out to the community around it for support. If you have a large personal network, you can use GoFundMe to ask for support from people you know.
Fund Your Next Big Project!
Crowdsourcing gave voice to many companies that started out in the garage and grew to hundreds of employees. Now tech innovators have a chance to showcase their prototypes to the public and get the success they deserve.
There is no guarantee that you will receive all the funding you need to pursue your business idea, but crowdsourcing sites can be one of your many funding sources.
8 Best Crowdsourcing Sites to Fund Your Business Idea in 2022
8 Best Crowdsourcing Sites to Fund Your Business Idea in 2022
Top 8 crowdfunding websites for raising capital in 2022
Top 8 crowdfunding websites for raising capital in 2022
crowdfunding platforms