Crowfunding

By L.A. LorekSilicon Hills News

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Kickstarter

Kickstarter, founded in 1999, reported more than 2.2 million people pledged a total of $319.7 million to fund 18,109 projects in 2012.

IndieGoGo

RocketHub

RocketHub

The average contribution on RocketHub is $75Most projects last between 30 to 45 daysThe Fundraising sweetspot is between $3,500 and $35,000

Three Pillars to Success

• 1. A great project• 2. Strong network of supporters• 3 Cool goods in exchange for a financial

contribution

GetFunded

CrowdCube in the U.K.

CrowdCube in the United Kingdom launched in 2010 and finances, on average, $88,000 per company. But only 7 percent of the companies seeking investment are successful.

CircleUp

• CircleUp launched in mid-2012, and has already invested $7.5 million in eight deals into privately held consumer and retail companies. CircleUp, based in San Francisco, deals with accredited investors only and that’s why it’s able to do equity-based crowdfunding.

How to Succeed?

The secret to success is to have an awesome project spearheaded by real people who ae passionate.

If You Crowdfund

• Protect Yourself from Lawsuits• Make sure to incorporate your business• That places the liability on the business and

not you personally in case the business or project fails.

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