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Build Your Own Crowdfunding / Fundraising Platform Like Kickstarter
Currently, Crowdfunding platforms are highly on-demand. If people run out out of cash when they are about to start a business, they think of building a fundraising platform. One should set up high-level norms. If each and every step done in the right way, then the crowdfunding business will turn in to a profitable business.
What is Crowdfunding?
It is a system of collecting funds for a project by raising a small amount of money from a large group of people through the Internet. It is also a form of Crowd Sourcing and alternative finance. The modern Fundraising model mainly comprises of three actors. They are:
The project Initiator - Who processes the Idea
The Individuals/Groups - Who supports the Idea
The Platform - Which connects both the parties to launch the idea
Watch the Demo video of our Funderbox - A Crowdfunding Platform that clearly explains the workflow of the Fundraising Website from Startupmart
Types of Crowdfunding
According to the May 2014 result of Crowdfunding Centre, there are 2 prime types of crowdfunding:
2. Equity Crowdfunding
The other secondary types of crowdfunding are:
1. Software value token >> Initial coin offering
2. Debt-based >> Peer to Peer lending
Kickstarter - A Crowdfunding Platform
Kickstarter is an American crowdfunding platform based in Brooklyn, New York, that focuses mainly on creativity. The mission of the company is to “Help bring creative projects to life”. According to the report of December 2019, the Kickstarter has received greater than $4.6 billion in pledges from 17.2 million backers to fund 445,000 projects like music, comics, video games, stage shows, journalism, technology, publications, and food-related projects. Kickstarter turned many projects into a highly successful project. Let us know a few of them:
- Coolest Cooler - with $13.28 million
- Double Fine Productions - reached $ 3 million
- Pebble Time - with $20.3 million
- Oculus VR
- Armani’s Micro 3D Printer
Pebble Time is the largest successful Kickstarter campaign. Almost every project will be reward-based crowdfunding. Investors may get a chance to take part in the launch of the product cor may get gifts/rewards, etc. Equity-based crowdfunding lets the startup entrepreneurs raise investment money by offering investors equity in the progress.
What are the major steps to build a perfect Crowdfunding Platform?
* Determine the aim of Crowdfunding Platform
* Be aware of your target audience
* Go for the right platform
* Have a look at funding options
* Payment Incorporation
Prior to Crowdfunding, fundraising for the small scale industries have been so hard and was never easy. Based on the report, the fundraising industry is expected to reach a value of $300 billion by 2025. But Nowadays it is not a big deal to get investors for an attractive business idea. Crowdfunding platforms are gaining prominence as it attracts the attention of hundreds of investors to invest in the ‘next big thing’.
Got an Idea of starting a Crowdfunding Platform? Startupmart offers the Best Crowdfunding app for your online fundraising business. Kick-Start your Crowdfunding business now, as it is a future-gen business model. Start your business with instant solutions from Startupmart which leads to the greater success by 2025. Explore and enhance your business better, by implementing the best online business in a short period.
Eho! This is Rajashree. I am a passionate professional always thirsty to grab knowledge about the trending technologies. Presently working as a blogger and technical consultant in Startupmart and well versed in on-demand clone scripts. With 4+ years of industry experience, I am enchant to distribute my insights regarding the on-demand industry. Stay tuned to attain the on-demand clone scripts industry vertical blog updates.