The Biggest Benefit of Crowdfunding Isn’t the Money

For artists and many small community-focused businesses, crowdfunding can be a great way to raise the capital you need without having to get involved in a complex business relationship with investors. It's also a fantastic way to build a community of interested potential patrons around your business.

For the would-be entrepreneur, crowdfunding is hard work: It’s sales – you have to sell yourself, your product, and your methods to anybody who is willing to listen. It’s a lot like looking for real investments except that you’re doing all this work for $5.00, not $500,000.

But here’s the thing: All of those people are now on your side. Before the crowdsourcing process, you might have a handful of people who know about your project: your mom, your roommate, and both of your cats. After the crowdsourcing process, if you’ve played your cards right, that number is in the thousands – maybe tens of thousands or more.

What’s more, you have a dedicated core of fans that you’ve convinced. Those are your early adopters, your fan base, and your evangelists. Those are the people that want to show off the cool thing they got for backing what they thought was an awesome idea and they will be the first out the gate to make noise about you down the road, and tell their friends that they should support you/buy your product/download your app. They are the important core of the best type of word-of-mouth marketing: excited fans.

Read full article » www.exitevent.com/is-crowdfunding…

 

Image: Hand Holding Globe from Shutterstock.com

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