crowd funding

by kateagarwal

one of the most important elements of this whole venture is MONEY. without it, nothing will happen, no matter how great our intentions. and so we talk about it the most, obviously. we have several ideas as far as finding sources of potential funding for mundo bizarro:

  • our money (plus funds from our families)
  • bank loans (as little as possible)
  • investor funds (our attorney is developing an investor packet)
  • possible grants from the city or elsewhere (i’m researching ideas)

we’ve been researching the concept of crowd funding for months now. it was discussed multiple times in past issues of Entrepreneur magazine and it’s the new hip way to spread awareness about your project and get financial backing from people who like your concept. there are a few sites that serve up the crowd funding option, like kickstarter and indieGoGo, for example.

the way this crowd funding concept works is simple: you submit a short proposal to the site of your choice, they look at it and if they think it’s viable, you get to post the project details on their site and start raising cash. hopefully. :-) you have to decide how much money you need before you start because you need to set a funding goal. after the funding page is ready you spread the word, send the link to everyone you know, ask them to send to their contacts, and hopefully you stir up enough interest that results in big bucks. it works a bit like a donation, but you offer various little (and bigger) rewards for various levels of financial support (from mugs or t-shirts to free dinners or all out parties). and there’s a catch (with kickstarter anyway): you only get the money when you reach your set goal. if you don’t, the backers never get charged and you get nothing.

we are very intrigued by this whole crowd funding concept. we chose kickstarter, mostly because we really liked many of the projects already being featured on their site. we want to be among them. :-) at this time we’re drafting our page and coming up with the various levels of rewards for the prospective backers. once it’s all done, we’ll be posting links, spreading the word on Facebook, emailing everyone we know. and keeping our fingers crossed!