If you’ve read our post Starting Small, we discuss our experience launching a business while remaining focused on stretching what limited funds we have. Because of this, we have decided to do a crowdfunding campaign to raise some additional funds as well as utilize the experience to gain a bit of exposure and test our concept with the market.
Most people have heard of Kickstarter, but there are many sites, such as Indiegogo, Rockethub etc available for companies seeking a crowdfunding platform. Check out this post on the top 10 crowdfunding sites.
We ultimately choose Kickstarter based on their monthly visitors, nearly double that of Indiegogo! Kickstarter is an all-or-nothing platform; if you don’t reach your goal within the time selected, any funds pledged are returned to your backers and the company receives nothing. Kickstarter believes the concept as well as their recommendation of doing a short campaign of 30 days, creates a sense of urgency amongst backers which may help discourage them from procrastinating and potentially forgetting. However, because of this, we have to be mindful to choose a funding goal that is attainable, and still worth the work of running a campaign.
We are setting our goal at $10,000, which will help our expenses involving the build of our website, pattern grading, and sample making. We are confident that we can reach this goal, and though the funds won’t cover all expenses of launching this business (our estimate hovers around $30,000), it could bring in some additional funds and provide an outlet to launch our idea.
Our Kickstarter Campaign will begin April 27 and run until May 27. Stay tuned for more updates about the rest of the process!