The 7 Best Crowdfunding Websites to Fund Your Startup
For some people, the most challenging part of starting a business is often raising funds for it. And with rising interest rates, taking out a loan from a bank may not be a healthy option.
To alleviate this issue, crowdfunding and fundraising platforms come to the aid of startups to fund their businesses seamlessly. Different crowdfunding platforms provide different options for startups, and with this variety, you can easily pick the platform that aligns with your business goals.
1.GoFundMe
It’s no coincidence that GoFundMe is one of the most popular crowdfunding platforms. Its versatile and user-friendly interface is part of the things responsible for the traffic driven to its platform.
Further, its robust investor profile has made it a top choice for individuals and companies seeking solutions for fundraising problems. One of the most convenient features that GoFundMe offers is the seamless setup and user onboarding process.
Even if you arenew to crowdfunding or Kickstarter campaigns, you can create a simple fundraiser in minutes with GoFundMe. Another selling point of the platform is its social sharing feature.
GoFundMe is a reputable fundraising website that many people trust, and this can yield a lot of investments for you, even from people who have no idea of your business.
2.StartEngine(Formerly SeedInvest)
StartEngine seeks to make angel investing and venture capital more accessible than ever. It positions itself as broker-dealers between investors and startups.
To begin the fundraising process with StartEngine, all you have to do is:
Most crowdfunding initiatives, evendecentralized funding platforms, will put you through an intense due diligence vetting process to ensure that only the most deserving ventures have a chance on the platform.
Investing in startups carries many risks, and StartEngine knows this. To reduce the risks, they put up vetting processes. To this effect, you cannot launch your crowdfunding campaign immediately after registering on StartEngine, as their vetting process takes days.
It is worth the wait as investors believe in this process and are ready to invest heavily in startups verified by StartEngine. If you want to raise funds for your startup, StartEngine is a reliable option.
Although they’ll put you through a thorough vetting process, they are transparent and focused on providing funding for deserving startups and projects.
3.IndieGoGo
Alongside helping you raise funds for your own website, IndieGoGo caters to startups, charities, and nonprofit organizations. It provides users with two features for fundraising:
With the fixed option, it’s possible to raise funds for your startup by setting a goal and a deadline. With this option, IndieoGoGo will reverse all the funds you have raised if you do not reach your goal by the deadline. With the flexible feature, however, IndieGoGo provides you the flexibility of keeping your raised funds even if you don’t meet the funding goal you have set regarding terms and conditions.
IndieGoGo provides startups with a platform to engage investors worldwide for a successful crowdfunding campaign. If you want to raise capital for your product, they are one of the leading platforms you should consider using for your cause. Additionally, IndieGoGo is one of thecrowdfunding platforms that allows cryptocurrency payments. You can also check outPrelaunch.com, which is similar to IndieGoGo for creators.
4.FundRazr
FundRazr is one of the most responsive crowdfunding platforms. They go the extra mile to verify the legitimacy of crowdfunding projects and quickly take down scam fundraising projects.
Their intricate verification process encourages investors to invest in projects on the platform, leaving startup founders with abundant capital. FundRazr has no hidden fees or charges, unlike some other crowdfunding platforms. Impressively, FundRazr is open to startups from countries worldwide.
5.Fundable
Fundable is an intuitive crowdfunding platform that targets key factors that influence the success of a fundraising campaign. To tackle these factors, Fundable prioritizes:
If you are looking for a crowdfunding platform that doesn’t deduct a percentage of the funds you raise in your campaign, Fundable is the right platform for you.
Unlike many platforms, Fundable doesn’t take a percentage of the funds you raise. However, they charge a monthly flat fee for the duration of your campaign. Further, if you are new to crowdfunding, Fundable provides materials with infographics that simplify the process for easy understanding.
What sets Seedrs apart from other crowdfunding platforms is its peculiar method of equity-based crowdfunding, by allowing investors to obtain equity in the startups they support.
This method shifts the dynamic by appealing to both backers and startups and allowing investors to become stakeholders in ventures they believe in. While applying for crowdfunding on Seedrs, here are some of the most important details you need to provide:
Seedrs’ business model is a crowdfunding venture that allows users to present their ideas, business plans, or products to attract investors. And after your campaign goes live, investors can invest an amount proportionate to their share of equity in your startup.
7.Kickstarter
While there are somecrowdfunding platforms tailored for writers, Kickstarter caters to people looking to raise funds for a creative project. From technology to arts and music, all that matters is that it is a product of the campaign and must result from an innovative effort.
Since Kickstarter is a rewards-based platform, it cannot be used to provide the following:
As a rewards-based program, you will retain full ownership of your product or service. Kickstarter only collects fees as your partner after your project reaches its campaign goal. These fees allow Kickstarter to continue providing a creator-friendly platform and empowering artists to bypass traditional gatekeepers.
Fund Your Vision Easily With Crowdfunding
Unhealthy loans and lack of funding are no excuses for bringing your idea to fruition, as crowdfunding platforms are now viable solutions.
A successful crowdfunding campaign goes beyond picking a platform that aligns with your fundraising goals. Aside from the crowdfunding platform you partner with, there are other factors to consider for success in reaching your campaign goals.
With the right crowdfunding platform and other factors in check, you may easily set up your startup for financial success.
Running a successful crowdfunding campaign isn’t easy, but with these tips you’ll have a much better chance of success.
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