Investors and donors love a good story. You have to entice them to think your business is worth helping. Since you don’t have to pay back the funds you have absolutely no interest rate worries. Reach Customers. SeedInvest’s biggest drawback is its expensive 7.5% placement fee on all successfully funded campaigns. Startup funding doesn't need to be complicated, If you’re sold on the idea of raising funds this way, realize that you have a few options. If you make it to $10,000, the fee is less than 2%. The drawback is you’ll have a lot of pressure to raise funds quickly, and it can become dispiriting to get lots of $5 or $10 contributions when you really want the big bucks. For the most accurate information, please ask your customer service representative. You’ll need to tell that story through your content on the project page, a video, and outreach through social media, your blog, email, and every other avenue possible. GoFundMe is an internationally recognized crowdfunding platform for helping people around the world put their money toward charities and causes that matter to them. The most well-known example is Kiva. Not sure about some of the terms above? ... Small Business Startup Loans: What You Need to Know. Unlike crowdfunding, P2P lending generally has a formal application process with a quick funding turnaround. My most recent book is Finance Your Own Business: Get on the Financing Fast Track and my book Debt Collection Answers: How to Use Debt Collection Laws to Protect Your Rights is available as a free Kindle ebook. Republic also puts a focus on diversity and looks for organizations with diverse teams. Known as a credit expert, my passion is making credit and financing simple. Venture Capital. Before exploring the crowdfunding platforms for … “Our funding goal was $7,700. Your chances of successfully crowdfunding depend on a bunch of factors, from the platform you use to your own business strategy. America's Top Givers: The 25 Most Philanthropic Billionaires, EY & Citi On The Importance Of Resilience And Innovation, Impact 50: Investors Seeking Profit — And Pushing For Change. And good news―it is. This can affect which services appear on our site and where we rank them. You’re probably not going to earn colossal investments with Patreon, but you can keep all the donations you get (minus a 5% payment fee) and leave your campaign running indefinitely. The amount of money raised? If you set a goal of just $3,580, that fee comes out to about 5% of what you raise (comparable to other platforms). Founded by MBA graduates and experienced investors, SeedInvest started as a way to give technology startups access to capital from people willing to make sizeable equity investments. Crowdfunding can also help you streamline the process of taking a proof of concept to prospective investors to see if there’s a chance for success. Wefunder is a great example of equity crowdfunding. To get our list of the best crowdfunding sites, we considered everything from platform fees to success rates. If you’re trying to raise money for your startup, the crowdfunding sites above might be just the way to do it. About the . That might sound discouraging, but remember that you can increase your chances by having a good plan, choosing the right platform, and creating a solid campaign. Once you set up your campaign, you submit it for approval on Kickstarter. Go ahead and get started with one of the crowdfunding platforms below. Our mission is to help consumers make informed purchase decisions. Don't Make a Mistake That Costs You Your Funding. And if you’d like a little extra help with your campaign, Fundable offers consulting services. 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