Why is it important to build a crowd before crowdfunding?

Crowdfunding is a compound word and if you don’t build a crowd you will not get the funding you are seeking. There is a necessary element of social networking needed to create an excited and engaged crowd of investors, entrepreneurs, industry leaders, and advisors to add value to a business over time that will help it grow. Though funding is often the main goal of a crowdfunding campaign, crowdfunding is also a fantastic way to gain visibility and grow your customer base.Traction. When conducting a crowdfunding campaign, you may also generate traction for your startup or real estate project. This can be demonstrated through large amounts of backers, pre-orders of the product or service your startup offers, or a significant amount of media interest. Generating traction is an important step to prove success and prepare for investor pitching.

Social proof. When potential clients show interest in your startup’s product, service, or real estate project you’ve generated social proof. This is essentially showing that other people believe in what you’re doing.

Press coverage. Helpful media coverage could include a feature on your company in a popular blog, or print publication. Press coverage will generate more eyes on your campaign and create brand awareness for your startup. It’s also a great way to bring in backers outside of your personal network.

Marketing. Throughout the course of your crowdfunding campaign, you’ll have the opportunity to engage supporters and grow your audience. The result? Your campaign doubled as marketing for your startup!

Potential investor interest. Investors are interested in ambitious entrepreneurs whose ideas have garnered traction and social proof. Whether they read about your new product on a popular blog, or hear about your innovative campaign from a friend, a successful crowdfund is a great way to capture investor interest.

Design Resources

Graphic Design such as Logos, branding, flyers. Promotional items and kickstarter layouts. You can see some of our resources here.

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