You have a business or product idea. You need money. What will you do? Traditional options are you take out a second mortgage, borrow from your family, wipe out your savings, or go get a business loan.
But an increasingly popular alternative option is crowdfunding. By now you should know what crowdfunding is. Crowdfunding is typically done via the internet through websites and services such as Kickstarter, GoFundMe and Indiegogo among a host of others. It involves many people (the crowd) giving small amounts of money (funding) to support your idea or need (campaign).
Crowdfunding – Not Just for Financing Anymore
On the November 8, 2016 episode of the Business is ART podcast my guest was founder and President of Academy Games, Uwe Eickert, who discussed some of the successful crowdfunding campaigns Academy Games have launched, many going well beyond the targeted financial objectives.
Uwe (pronounced Oovah) said that one thing distinguishing Academy’s use of crowdfunding versus that of others is that while many, perhaps most, campaigns look at crowdfunding as a means of survival or the only way to actually birth the business, product or idea, Academy looks at it as a means to market it, spending thousands of dollars on pre-marketing publicity in advance of the campaign. The result he says is that Academy typically exceeds its target within minutes of launching the campaign and that the target is always well above the pre-marketing spend.
Every Business is a Marketing Firm
Uwe recommends reading Jamey Stegmaier’s A Crowdfunder’s Strategy Guide. Based on his recommendation I have purchased but not yet read the book, but can tell by the table of contents that I am going to like it, with titles such as:
- You don’t have to launch today
- I made these mistakes so you don’t have to
- Make it about them
- Build a better community
- Don’t quit your day job…until you quit your day job
Uwe’s position on business is that no matter what our product or service, every successful business is a marketing company. Some are just better at it than others and crowdfunding is one tool you can add to your strategic and business plans if you haven’t already.
Get it Here
You can listen to the podcast, entitled “Send Gamers, Guns and Money” by clicking here.
You can build a better strategic and business plan by following the process I describe in my book Business is ART available now at Amazon by clicking here or by completing my online training based on Business is ART by clicking here.