Crowdfunding is the practice of gathering funds for a cause or someone in need. This is done by collecting a small amount of money from a large number of people to meet the requirement (goal) of funding.
This is a great way to help someone. However, there are also many myths about crowdfunding. Don’t fall for such myths, and don’t let them stop you from starting your fundraiser.
Here are 10 myths about crowdfunding
Crowdfunding does not require any expense:
Crowdfunding is to raise funds for individual or community support or any startup. However, it is believed that crowdfunding does not require much input of funds, which is not at all true. To increase awareness about your campaign and to manage it properly, you would require a team which will cost you some money. Moreover, you need funds to run ads on social media platforms to increase awareness about your cause.
It is easy to reach potential donors:
It is a common myth about crowdfunding that it is easy to find people who would like to participate. Even if a lot of people are willing to support the cause you are raising funds for, they might not be able to offer support.
This can happen if they do not get to even know about your campaign. Thus, you need to run ads and create awareness about the campaign for your fundraiser to reach out to people. Also, mouth-to-mouth awareness is essential. You need a strong and large team to spread awareness.
Support of popular individuals guarantees the success of a campaign:
This is a very common myth about crowdfunding that getting support from individuals with a huge number of followers might help you increase awareness, but it does not guarantee the success of your campaign. This does not necessarily mean that you will achieve your goal easily.
Campaigns should run for a long period to raise funds:
Awareness of your campaign is important, but you also need to make people understand and believe in your campaign’s motive. Think before paying such individuals a high amount of fees just to increase awareness. Campaigns tend to gain momentum in the beginning and hit a plateau in the middle, then again gain momentum at the end. If you keep your campaign running for too long, then people would lose enthusiasm and might pull back their support. During the middle period of a campaign, it gets slow and boring, which can backfire your whole purpose of running it for a longer period.
Moreover, it increases your workload as you need to keep engaging with your audience regularly by providing new content to them. You also need to keep updating them about funds collected so far.
Money can’t be raised for an individual:
Yes, a larger cause indeed attracts much more public to participate and help but, it is not true that funds can’t be raised for an individual. If any individual’s need is genuine and people find that an individual is in a real crisis, then they would agree to help them out.
Due to this pandemic, many people have faced financial and medical crises and other difficulties all over the world. Many individuals had come forward to ask for help, and people were willing to help them out during such hard times.
An idea is enough for campaign success:
Your cause must be appealing to not just you but to others as well for them to participate. Even then, just a good idea is not enough for the success of the campaign.
You need proper planning and management to make your campaign a success. You will also need a team to help you and some funds to start a fundraiser. A solid plan and execution will gather enough support to reach your goal.
Fundraisers are just for emergencies:
This is one of the most common myths about crowdfunding that it is only for emergencies. People start fundraisers for not just emergencies but also funerals, education, medical bills, etc. Many individuals have lost their jobs or parents, and now they are not able to pay bills or meet basic living needs. Such people also start campaigns to ask for help and gather funds to pay bills.
Need organization support to start a fundraiser:
This is not true. You don’t need to have the support of a well-known organization or NGO to start a fundraiser. Any individual can start a fundraiser for themselves or for someone they know who is in need of funds.
Anyone with genuine intention and identity can start a fundraiser. To make people believe in your motive, keep your campaign as transparent as possible. Show the target audience where you will use these funds and how they will help to serve the cause.
You can hire someone to run a campaign for you:
Yes, there are excellent consultants and management firms who can manage and run a fundraiser for you. But, you need to be there with them every moment to make them understand your idea and goal. Moreover, such firms will charge fees to run a campaign for you.
Even if you hire some professional to do the work, you still need to look after all the work by yourself. You cannot just be dependent on them to do all the work from start to end.
Starting an online fundraiser is time-consuming:
It is a myth about crowdfunding that starting an online fundraiser is time-consuming. However, in reality, it requires you to take only a few steps to start your fundraiser and connect it to your social media platform and ads. Ketto is an organization that provides you a safe and fast online platform to start your fundraiser by simply filling in a few details about the campaign like objective, organizer, goal, payment method, etc. You can further link your fundraiser to your social media profile and ads. Once you are clear about your motive and have planned everything, then it takes only 5 – 10 minutes to start your campaign. Find out what crowdfunding is and how crowdfunding works.