3 things to know before starting your crowdfunding campaign

Crowdfunding has definitely taken over our lives, whether it’s funding your dream idea or funding your neighbor’s operation. As with all new tools evolving to make things simpler, crowdfunding comes with its own set of pre-existing conditions and contexts.

It has become extremely easy for anyone to launch a crowdfunding campaign. However, the most important part lies in knowing what you are applying for. If you are someone who has a vague idea about crowdfunding, then it is important that you pay due attention before you start a crowdfunding campaign. Crowdfunding platforms are usually for-profit platforms (not to say that crowdfunding platforms don’t exist) and come with their own rules and regulations, it’s best to know these three things before you decide to run a crowdfunding campaign for your purpose, whether creative, medical or entrepreneurial .

1- Get to know your platform

There are some platforms that specifically deal with creative goals, some with medical, and some work intensively with entrepreneurial activities. Depending on your case, it is important to evaluate the platform accordingly. Most crowdfunding platforms typically charge a fee to host your campaign. You may also have different costs depending on the additional services you sign up for.

These platforms also come along with your own target audience, if you set up a fundraising campaign for medicine on a creative platform, know that there is a serious mismatch in your target audience tagged with it. It is also worth understanding that niche platforms usually specialize in one particular type of fundraising and it is best to use this for the benefit of your campaign, in terms of context, reach, marketing and audience, etc.

2- Know your costs

Given that platforms charge their fees and costs incurred for any marketing or promotional efforts, it is vital to have a buffer amount. Always consider fluctuations in different currencies (if the platform allows donations from abroad) and money that will be lost on taxes collected (depending on where you live). It is important to consider the cost of PR and promotional efforts if your goal is creative or entrepreneurial in nature. Marketing has the potential to change the game, so it is important not to skimp on it and use the necessary funds.

3- Get to know your audience

It is important to be able to convey the value of your campaign to your audience. Regardless of the nature of your campaign (medical, creative and / or entrepreneurial), it is crucial to be able to convey the urgency of your campaign to your audience. It is essential to build the trust, transparency and openness of your campaign. This allows you to connect with your audience. If someone is willing to donate money for your goal, of course they would like to know the details and updates in the long run.

Understand that it is very important to be able to communicate your terms to your potential donors. It is very important to understand how you can convey the conditions of your goal. Empathy works well with medical causes, with entrepreneurial causes, content should revolve more around tangibility, and with creative causes, it should revolve around your history with the creative field and scope of your project.

These 3 things are inextricably linked to the topic of crowdfunding. It is important to express your beliefs and start a movement through this practice. It is equally important to know what you are applying for while doing so.