Raise Investment – Guarantee Investment When Crowdfunding
Launch day is a tense day. A turbulent day. And the days preceding it are tense, turbulent days, too. It’s the day you lift the lid on your hard work to find out if you’ve made a stallion or a salmon. When the whistle sounds, you want to be galloping through the gate, not flopping through it wetly. To do this, you should aim to get 30% of your goal promised before launch day.
Our client Veeqo knew this- they used mailing lists, social media, and extensive networking to secure as much pre-funding as possible. They were funded £1,227,995 with a £1,000,039 goal, meeting their target in 2 days. You can see their campaign here: Veeqo
First, you need to call your current network to action.
That’s your friends, family, fans, and investors you’ve already contacted. Let them know precisely when you’ll launch and what you need from them. The will help you raise investment. You might need to explain to them the nature of crowdfunding and how their contribution will benefit both of you. Find out how to build your network in our other article here.
Email your existing network.
Put research into angel investors who might be interested in your campaign as they can be instrumental and help you raise investment. Accomplish all that before you launch, and your campaign will explode with tasty percentages as soon as the doors open. Not only will that provide social proof that your campaign is well-backed, but you’ll be held in high regard by that ‘popular’ page.
Your immediate success will set the tone for the larger crowd, building their confidence and likelihood to contribute. If your crowdfunder is selling equity, It’s also worth looking for notable investors who are already known and trusted in your industry. Equity crowdfunders on crowdfunder.com were 6 times more likely to be successful when they had notable investors.
Securing larger investments is best done in a classical way- face-to-face.
Meeting your larger backers can give them personal assurance that your success is inevitable. Given crowdfunding’s normally faceless nature, this isn’t always possible though. Compensate by always keeping a fast-flowing line of communication open with your potential backers. Don’t just brag, but tell them about updates, news, hardships, roadblocks and delays. Remember to engage them, too. Give them personal input into your products if possible. Could they vote on the next colour? The next flavour? The next location?
Locking down some of that money beforehand will soothe your mind, and will help you plan campaign details like length and rewards. Remember, your campaign period will fly by, and you’ll need to use every day efficiently. Securing as much investment as possible cuts the amount of time spent during your campaign period looking for sources of backers.
Do you need personal advice about securing pre-campaign investment?
We can help. Drop The Crowdfunding Studio are proud partners of Crowdcube and Indiegogo. We assist ambitious businesses in communicating their ideas, products and services with outstanding crowdfunding video production, campaign design, crowdfunding marketing and crowdfunding PR.
To learn more about us and our services, visit our website: drop.studio
Or book a free phone workshop today and ask us anything, like how to create a successful crowdfunding campaign or how to accelerate your business from zero to fully funded.
If you’d like to know how to build and maintain your crowdfunding campaign’s momentum, see our next article here