Crowdfunding for startups is often considered to be a tricky task. One has to go for various resorts to collect it. Startups in India has paved its way in the recent times. People have many new and different ideas to start a company or a brand. But obviously, in this fast running competitive era, people need money to invest into it. For this purpose, crowdfunding is considered to be one of the best options. In this process, people primarily contribute small amounts via Internet. These small amounts slowly and gradually turn up to be a huge one. There are numerous advantages of opting crowdfunding for the purpose of raising funds. Here are 10 BENEFITS OF ONLINE CROWDFUNDING FOR STARTUPS IN INDIA.
For reaching out to the people for the purpose of crowdfunding for startups, one needs to launch a crowdfunding campaign. The individuals needs to put forward the whole idea and agenda of the products and services of the startup. One can devise certain strategies and methods to attract more number of audience. The ideas need to be creative and the search engine optimization should be done perfectly. This is required so that people find the individual’s campaign immediately and consider it for providing funds. This will increase the marketability of the company or brand and it will collect more funds for the purpose.
FULL CONTROL OVER CHOICES
When an individual starts the campaigning of the startup, there is liberty of selection. One can have full control over the choices he or she makes. The individual can also alter the modifications according to the requirements. More number of features can be added or subtracted in the process. This increases the independent attribute of getting into a startup. One also gets to add creativity in the campaign through this advantage.
NO UPFRONT FEES
One of the most important benefit is that one does not have to pay upfront fees. Crowdfunding for startups can be done with extreme dedication and creativity. If one has the right intention and their agenda is set for the purpose then it will attract more contributors. It will attract potential investors to invest for growth and upliftment of the startup. The individual should keep in mind to contact the right platform for the purpose of campaigning. If this thing is carried out properly then it will be a great success.
FEEDBACK AND EXPERT GUIDANCE
Campaigning for the crowdfunding of startups will also bring opinions and views of different individuals. If there are any issues which might be arising can be fixed when they are communicated properly. This not only increases the interaction between the owner and the contributors but also brings improvement. The entrepreneur will develop skills to interact with gatherings and crowds as well. the feedbacks and judgements will help to understand the perception and aspects of the audience.
ALTERNATIVE FINANCE OPTION
Crowdfunding can also prove to be an alternate finance option when it comes to collecting funds. There are many others ways as well through which one can collect money. Bootstrapping is one such old and conventional method which is usually preferred by entrepreneurs. Some more methods are Angel Investment and Venture Capital which can also help to collect funds. All of these are wonderful options which one can go for. Crowdfunding does not put the burden on a single person or group and hence, people prefer it more.
SPEED AND STRAIGHTFORWARDNESS
If an individual opts for crowdfunding campaign, the process gets faster and more straightforward. The complete transaction process can be carried out without any fuss or hassle. All one has to do is to provide the necessary details that are required. Once this is done, the transaction is just a click away. The person providing the funds gets to know about the details of the payment that has been done. This also increases the transparency of this medium.
While getting into raising funds through this method, people get introduced to new faces. They meet clients who prove their loyalty and a connection is formed in the professional world. This increases the contacts to reach out to more number of people. The potential clients start becoming the part of the startup’s growth and progress. With no competition in mind, they prove to be beneficial in all aspects.
The methods like crowdfunding provides exposure to the entrepreneurs and they get to learn about professionalism. This in turn adds to the growth of the individual as well. One has to face the media and the market to raise funds for the purpose. This brings an overall development in the hard and soft skills of the entrepreneur.
Trust and commitment is a very important factor when it comes to matters related to money. It is very important to build relationships in the professional world which are trustworthy. They will not only help to get more number of clients but will also provide a sense of security. Lack of trust will bring up issues in the progress of the brand or company.
NON CONVENTIONAL FUNDRAISING
Crowdfunding for startups proves to be a non conventional method of raising funds. People have been applying for loans in bank or used to sell their property and jewellery for the purpose. But these methods have turned old and people are not attracted towards it that much. Crowdfunding campaign is a fresh method to gain what is desired which offers numerous benefits to attract the individuals.