So, you have a gem of an idea and want to get it off the ground. The first question is how much will it cost and can you come up with the money.
We know that going to a lending institution like a bank to secure a business loan is an unlikely option and attracting a bunch of investors other than family members is a stretch. However, conducting a crowdfunding campaign to raise seed money and prove that the market will embrace and pay money for your idea sounds appealing.
The first step, regardless of which options you decided to ultimately take, is to figure out just how much funding you will need to raise. Tools like our Startup worksheet and Cash Flow statement on our Free Downloads page can give you a good start at understanding your financing requirements. However, most successful businesses begin with some kind of plan.
As with most businesses, it is best to shape your business idea with the Business Model Canvas and then use the data to write a business plan. At the end of the planning process, you will need to determine how to fund your idea.
If crowdfunding is the right way for you to raise money, it is not as simple as launching a campaign and waiting for the money to roll in. A successful campaign takes work. You do not want to become one of the failed statistics after all. In fact, there are eleven distinctly different steps to a successful crowdfunding campaign. You can click on each of the following steps to examine it in more detail.
