...there was the garage.Who started in a garage? Among others:● Steve Jobs● Bill Gates● Jeff Bezos of Amazon.com● Google● HP
Do you still need the garage?Yes! Inventors and entrepreneurs still needspace to create. But what comes after that?● Finding investors● Hiring employees● Marketing their productsThey all managed to do it. Youll have to do it,too.
But whats your advantage?You may not be a genius......but you have the advantage of social media.
Do the math.On any given day, 66% of adult internet usersvisit a social media site.● 12% of online adults say they use Pinterest● 12% use Instagram● 5% use Tumblr● 66% use Facebook● 20% use LinkedIn● 16% use Twitter
Social media gives you REACH.Heres an example from LinkedIn: 133 people = 3.5 million potential contacts = 3.5 million+ potential customers
Also, it provides ACCOUNTABILITY.What do you do before you visit a newrestaurant or buy from a new website?
Social accounts build TRUST.Which person would you trust more?
So why does this matter?Because youll need to rely on your existingnetwork and build a larger, stronger one inorder to launch your startup.
Lets talk ideas.A large, trustworthy network is a big help with:● Testing business ideas● Finding beta testers● Offering suggestions
You have an idea. You need cash.Social media can help you find funding,whether youre looking for cash to build aprototype or full funding to launch your startupas a company.
Is crowdfunding right for you?● Is this project interesting to anyone else?● Do you have a large enough network to fund the project?● Are you willing or able to execute a social media campaign?● Is your fundraising goal realistic?
How crowdfunding works.1. Create a page explaining your project. Videois a good way to go here.2. Set a fundraising goal and a time limit.3. ??????4. Profit!
How crowdfunding actually works.1. Create a page explaining your project.Include video and photos. (The more high-techthe project, the more people expect.)2. Set a fundraising goal and a time limit.3. Campaign among your friends and networkto meet your funding goal.4. Profit!
How do creators get funding?● Use Twitter and Facebook to contact friends and family● Use social media to talk to reporters and bloggers● Become featured projects on either site● Create blogs and videos to promote their work
What do donors get?They dont get stake in the company. Instead,they get rewards set by the project creator.These can include:● The project itself (DVD, book, etc.)● Promotional items● Public thanks● Other services/goods from project creators● A handwritten thank you note (true story!)
Whats the difference?● Indiegogo has no approval process; Kickstarter does.● Indiegogo allows you to receive funding even if you don’t meet your goal; Kickstarter only funds projects that meet their full goals.● Kickstarter uses Amazons payment system; Indiegogo uses Paypal.
A few cautions● Both sites will take a small percentage of the funds you raise.● Are you willing to kick in the rest of the funds if you dont meet your goal?● Are you prepared to complete your project and fulfill the perks you offered to donors?