This document provides guidance on planning and running a successful crowdfunding campaign. It discusses what crowdfunding is, the different types of crowdfunding, who can benefit from crowdfunding, what makes a successful campaign, and steps to take in pre-launch planning. Key points include building an engaged community on social media before launching, telling a compelling story to engage backers, offering rewarding rewards in different price ranges, and filling out all required project information in the dashboard before submitting for review.

1. The Bloom Guide to Real Crowdfunding
The definitive guide to planning, launching and running
a successful crowdfunding campaign.
If you have an idea for a start up, growth business, social
enterprise, charity or community group and need funds to get
the ball rolling, then this is the must-have step-by-step guide.

2. www.bloomvc.com bloom vc
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Contents
Title
We love crowdfunding
What is crowdfunding?
How does crowdfunding work?
Who can benefit from crowdfunding?
What makes a successful crowdfunding
campaign?
Pre launch planning
Step by step guide
Final checks
Campaign communications
Social media for crowdfunding
Step by Step – communications guide
Page
3
4
5
6-7
8-9
10
11-12
13
14
15
16

3. We love crowdfunding
Crowdfunding is opening up
a unique source of finance to
all, without the need for business
plans or bank loans, consultants
or committees. You, yes you, can
bring your idea to life and embrace
the support of the crowd.
We’ve all said at some point in our lives: “I’ve got this crazy idea
to build a ...” or “I could do better than that” or “This community
needs a ...”. Usually followed by “But I’ve got no money to do it.”
Well now you have no excuse. The Bloom team has created this
guide to take you through the entire crowdfunding process, from
helping you to craft the perfect pitch, to creating must-have
rewards and building a supportive community.
Your project can be small, a few hundred pounds, or it can be
large, thousands of pounds. It can be run over 30, 45 or 60 days.
It can be for anything (legal, obviously) that you want.
And it’s simple. Simple, but truly exciting.
The crowdfunding rollercoaster will take you places you never
thought of, it will inspire and humble you, show you the generosity
of strangers and demonstrate just how much you can achieve with
a good idea and some hard work.
We’d love to help you, all you need to do is Start a Project and we’ll
be right beside you on that rollercoaster all the way, throwing our
arms up in the air and screaming just as loudly as you.
www.bloomvc.com
Top Tip
RTs and shares are great, but
they won’t put cash into your
campaign. Don’t be afraid to
ask for the money, it shows
determination and ambition.
bloom vc
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4. What is crowdfunding?
Crowdfunding is a revolutionary form
of funding and is really very simple –
tell people about your great idea and
ask them to back you in return for a
reward. So all you need to do is sell
yourself and your idea, and offer
cool, unique rewards.
There’s no criteria to meet, it’s open to anyone and gives everyone
the same chance to shine. Your idea could be for a business,
a social cause or a community project and the crowd will decide
if they like it enough to give you the cash to do it!
Still unsure? There’re loads of reasons why crowdfunding could
be perfect for you but we’ve listed our 10 top reasons.
10 Reasons to Crowdfund
1. You’re enthusiastic and passionate – this might not work
for banks, but it’s brilliant for crowdfunding
2. You want to raise awareness of your idea/cause –
crowdfunding is a fantastic platform for building an engaged
community who will spread the word
3. You want to test your idea – you can talk to potential customers
and see if they like your concept
4. You need cash quickly – you can run your project on Bloom
for 30, 45 or 60 days so if you’re successful, you’ll get the money
at the end of your campaign
5. You aren’t eligible for other types of funding – we don’t
apply selection criteria, so anyone can do it
6. You like to experiment – crowdfunding is a cool new form
of funding, why not give it a go just for the experience?
7. You need a few rounds – you can break your target down,
and come back as many times as you like
8. You’re worried about failure – at Bloom we offer one-to-one
support and, if your project fails, we can work out why and you
can try again
9. You’re not ready for investment – there are no barriers or
criteria, so it doesn’t matter if you’re just starting out
10. You have a bad financial/credit history – no need for
business plans or financial statements!
www.bloomvc.com
Top Tip
Create an e-newsletter to
update your backers during
the campaign. Encourage them
to share your project with their
friends – after all, if you don’t
reach target they won’t receive
their rewards.
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5. How does Crowdfunding work?
There are three distinct types
of crowdfunding; crowdlending,
crowdinvesting and real
crowdfunding.
Crowdlending -
peer to peer, or debt-based - a simple loan that must be paid back.
Loans are straightforward, it’s a simple transaction, you just have
to make sure you can repay it.
Crowdinvesting -
equity-based - you sell shares or, more often, parts of shares in
return for investment. Individuals who give money to your project
are investors and they own equity in your company. The perceived
wisdom is, with an early stage business, the less equity you give
away the better.
Real crowdfunding -
reward-based - in this case, the backer makes a promise to pay
you money (if you reach your target) and receives a reward in
return. Often but not always, the reward is the product or service
the money is being used to develop and deliver, so in effect,
pre-selling.
Bloom is a reward model. If you put your project on our site,
you don’t have to give up any equity or ownership of your business,
nor do you have to pay any of the money back.
Bloom is all about encouraging and motivating project owners
to successfully reach their targets, it’s about encouraging
and motivating backers to make promises that contribute
to a greater goal.
With Bloom, you don’t give up equity or repay the money,
just deliver the reward and you retain complete ownership
of your business.
Promises and rewards, what could be simpler?
www.bloomvc.com
Top Tip
Identify influencers and
potential backers before you
launch your campaign. Talk to
them, share with them, ask
them questions, build a
relationship – before you ask
them to back you.
Top Tip
Do your research! Find out if
there are similar projects on
other crowdfunding platforms,
learn from what they do well
and from what doesn’t work.
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6. Everyone can benefit - there’s no
need for a business plan or a good
financial history. Not only that, but
here at Bloom we don’t apply
selection criteria as we want to give
all ideas the same chance of
success. All you need is a great idea
and the willingness to work hard at it.
However, we’ve identified a few key groups that could really benefit
from crowdfunding.
New businesses
Trying to set up a business can be difficult without funds and
awareness. Running a crowdfunding campaign can fix both
problems, and also establish credibility, showing determination and
proving that there is demand for your idea. Not only that but you
can even pre-sell your product or service and fill your order book
before you start trading! Start up Forward Fitness crowdfunded the
money need to secure studios to launch their business –
2Girls1Plan.
Who can benefit from crowdfunding?
Growing businesses
As expansion becomes a priority businesses often look to
investors, but in the current climate it’s extremely difficult to secure
funding. Successful crowdfunding can involve pre-selling products,
proving customer demand and increasing publicity – all of which
strengthens your position for investment. You could trigger
matched funding, or even be approached by an interested private
investor like Mhairi Mackenzie of Bonnie Bling.
www.bloomvc.com
Top Tip
Create a mini communications
plan for your campaign, then
ask for help from the experts
amongst your friends and
colleagues.
Top Tip
Make sure you have a
fulfillment plan for delivering
rewards to your backers – keep
in touch with them, thank them
and let them know when they
can expect to receive
their rewards.
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7. Students
Students are often sources of great ideas that never lead to action
due to lack of cash, or fear of failure. With most students already
deep in debt, crowdfunding is a simple method of raising finance
while allowing students to develop skills and experience in
communication, social media, project management and much
more. The benefit is two fold; students can fund their ideas and
perhaps their own businesses, and also enhance their CV at the
same time, increasing the chances of getting a job after
graduation. Student Kevin Pickering crowdfunded two movies
on Bloom; Wake Up Call and Nature at Work.
Social causes
Don’t be put off if you don’t have a business idea, crowdfunding
can work just as well for social ventures, community projects and
even charities. Giving to a social cause through crowdfunding
allows backers to be publicly recognised, and gives you the
opportunity to raise awareness of your goals. Projects always
perform better when they engage people emotionally, and a social
or community project is perfect for attracting backers who want
the feel good factor of helping a cause. Check out Elke Barber’s
“Missing Daddy” project, a great example.
Instead of a few bankers deciding
the future of your idea, we hand the
power over to the crowd, and you
never know what they’ll go for! So if
you have a dream you want to make
a reality, get in touch and we’ll help!
Who can benefit from crowdfunding?
www.bloomvc.com bloom vc
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8. What makes a successful
crowdfunding campaign?
1. Community and the “magic 20%”
Bringing an existing community to your project is essential.
Crowdfunding success depends on the community you bring with
your project and how much you engage with them. That’s why the
use of social media, and building a following on Facebook and
Twitter before you launch, is incredibly important for your project.
In fact, effective use of social media is crucial for your business/
community beyond your crowdfunding campaign.
So work hard to build interest in advance of your campaign.
Do your research, find out where your target market is consuming
their data and spending their time, and go there, start to engage
before you launch your project. Identify the influencers in your
field, talk to them, get to know them, share good content with them
and build a relationship first. Find out if there are trade/consumer
organisations, support groups, interested businesses and reach
out to them.
It’s important in the early stages, the first few days, to get friends
and family backing you since this gives some comfort to strangers
who come to your project. There’s the “magic 20%” to reach in the
first few days - statistics show that if you launch your project and
reach 20% funded in a day or two then you are 90%+ more likely
to reach target.
2. A compelling story
You need to write an exciting pitch that engages potential backers
and sells both yourself and your idea.
You need to explain clearly and effectively what you want to
achieve, why it’s so important – why should a stranger back your
project? - and how they can be a part of your journey.
You need to get to the point quickly and then go on to provide
detail, so that if someone only reads the first few lines they
understand the aim of your project.
You should explain what you need the money for and, if you raise
more than you’ve asked for, what you will spend the additional
money on.
Keep in mind the global audience you are addressing, and write
in simple language that anyone could understand. Try to engage
on a personal level, as sometimes backers will promise money
simply because they are interested in that particular area,
or are impressed by the project owner themselves.
www.bloomvc.com
And use video, where possible, to help illustrate your story. It
doesn’t have to be professionally filmed; something done on your
smartphone will do just fine as long as your backers get a strong
sense of passion, enthusiasm and determination to succeed from
you. People love to share video, and if yours is great, then they’ll
tell everyone they’re connected with.
It’s a fantastic opportunity to engage with people who want to
support you - they just don’t know it yet.
Top Tip
You need to commit time every
day to work on your project –
whether that’s spending time
on social media, asking your
contacts to support you, or
getting out there and telling
everyone about your project in
person. We recommend about
30-60 mins a day (minimum) to
keep your community engaged.
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9. What makes a successful
crowdfunding campaign?
3. Rewards
Choosing rewards can often be the most difficult part of creating
a project. However, they are an essential part as they will ultimately
make or break your campaign.
Rewards are what backers receive in exchange for their promise.
It is a way to say thank you to the crowd for their kind and
generous promises, build support for future projects and can
also act as marketing and promotion tool.
When thinking about your rewards it is important to ask yourself
‘What would I want in return for my hard earned cash’? You would
want something exciting, clever and creative; to feel that by
backing a project you will gain something unique, something
you would never have received if you hadn’t been part of the
crowdfunding campaign.
There is a whole host of compelling rewards to offer, for example
a simple thank you on Facebook, Twitter or on a personal website,
personalised videos, t-shirts, discounts, your name in the credits
of a film, pre-sale copies of CDs, unique photos, a special edition
of the product or tickets to the event, advance access to new
technology, pre-launch downloads of apps, access to products
pre-launch, VIP experiences ... the list is endless.
Projects can struggle to find support if the rewards aren’t
considered carefully, so here are our top tips:
1. Having a variety of rewards is key, ranging from £1, £5, £10
upwards. Remember every little helps!
2. Make sure the rewards link to the project, backers are interested
in your project not in random products.
3. But make sure the rewards appeal to the widest
possible audience.
4. Make sure the reward fits the value; this should consider more
than just the price. Backers want to feel special, that they are
getting a limited edition, priority or discounted product.
5. Adding a humorous or personal touch to a reward can go
a long way; it will help you connect with backers.
6. Tap into famous connections, if you know a celebrity /expert ask
for endorsement and ask them to contribute to a reward.
7. And please consider the costs of making/delivering rewards
(you can build this into your target), and how many of each you
can realistically offer.
www.bloomvc.com
The opportunities are only limited
by your imagination, so put on your
creative cap and capture the
crowd’s imagination!
Top Tip
The average promise on
Bloom is around £40 so make
sure you take this into account
when you’re creating
your rewards.
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10. Pre launch planning
All you need to get started is your
great idea for a business, social, or
community project, and a computer
or smartphone. You can then register
your project on our site using this
link: Start a Project
You will need to register an account and fill in basic profile details,
including your PayPal email. It’s crucial that you have a PayPal
account as we use it to process payments, so make sure you
register with PayPal if you haven’t done so already. It’s free, and is
quick and simple to setup, just follow this link and click sign up:
PayPal signup
Before you start working on your project, please think about
possible factors which could delay launch and remedy them if
possible e.g. do you need to buy premises first, or acquire planning
permission? We’re more than happy to delay launch until you’re
ready, but it’s useful to know the timeline before getting started.
Next, you will be introduced to your project dashboard, which
allows you to add information, edit your project, and add videos
and images. The key areas of your project you need to start filling
in are;
Target
How much money do you need to raise? Remember to think about
the 5% Bloom commission, PayPal charges and costs associated
with rewards
Short description
This should be around 100 characters, and summarise your dream/
goal
Long description
This is where you pitch yourself and your idea and explain why
you need funding
Rewards
You need to decide what you can offer as rewards, in return for
promises made. Ideally there should be 5-7 levels ranging from
very low (£5-10) to high (which could be £100 to £1000 depending
on your target)
Media
You should add pictures and video to illustrate your story
and enrich your pitch
We recommend you include as much information as possible,
then when you’re ready to receive feedback from a Bloom team
member, simply click ‘Submit’ at the bottom of your
project dashboard.
You will be partnered with a team member who will work closely
with you to refine your project and guide you through project
launch right up to your project closing. Of course, if you have
questions or problems at any stage, get in touch! Use this contact
link: or if you have already been allocated a Bloom team member,
get in touch directly via email, phone or Skype.
www.bloomvc.com bloom vc
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11. Step by step guide
We’ve launched a wide range
of projects, from hundreds
to thousands of pounds, from films
to animal rescue to football teams,
cosmetic products to games and
books. What we’ve learned is that
a successful crowdfunding campaign
is built on several key areas, and
we’ve got a step-by-step guide
to planning, building and launching
your crowdfunding campaign.
Stage 1: Before the project can be
built you need to: -
1.Decide exactly how much you are looking to raise and what
this money will be used for.
This figure should reflect the cost of your project as well as any
costs involved with creating/delivering rewards. Remember that if
successful, 5% will automatically be deducted for Bloom and 3%
(approx.) deducted for PayPal charges. Also consider whether it is
feasible to raise the amount you want in the specified number of
days – this will depend on the size and strength of your community.
2. Decide when you want the project launched.
This can be set for whenever you want, once you’re ready or in
time to coincide with a relevant event. Think about anything that
needs to be completed before your crowdfunding campaign can
begin, and work this into the expected timescale.
Stage 2: Prior to the project launch/
during building the project, you
need to: -
1. Inform staff/your community/group or charity members
that the project would benefit.
Once these people are aware of the project, they can start getting
involved and spreading the word.
2. Speak to key influential contacts and ask if they will support
and share the project.
This is key to driving traffic to the project early, and ensuring
support prior to the project. Remember to also ask for funds,
and if these funds can be promised in the first week. If you can
guarantee backers before the project starts, it will generate more
interest and reassure strangers.
3. Ask sponsors to embed project link on their website.
This will also drive traffic directly to your project and reach a larger
audience. This is simple; we can provide the link that embeds the
project. Make sure you embed the project on your own website
too.
4. Develop social media following especially twitter, and set
up a blog if possible
This stage is very important, social media is one of the main
factors that will influence potential backers. Social media sites that
could be used are networking and sharing sites such as Facebook,
Twitter, Pinterest, Quora and professional sites such as LinkedIn
and Kiltr. Facebook and Twitter are the main ones to target,
however depending on the type of project a site such as Pinterest
could be very effective.
www.bloomvc.com bloom vc
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12. Step by step guide
Stage 3: To build the project, you
need to: -
1. Develop a short description that hooks people and makes them
click on your project to read more, ideally no more than 100
characters.
2. Develop a long description that tells a clear compelling story,
including why the project is vital and why people should back it.
It’s also important to tell people how you will use their money, and
what you will use any extra funds for if you exceed your target.
3. Add links to your website and social media sites. (Facebook/
Twitter/Pinterest/Kiltr/LinkedIn/Quora/Blog).
4. Add pictures and video, which will make your project more
exciting and interesting and help illustrate what you want to do.
Videos are particularly useful and draw people in, even a short
video shot using a smart phone can work really well.
5. Create exciting rewards with at least one being unique,
something no one can get unless they are a backer. Don’t be put
off if you are service based, be creative about the rewards – you
could offer experiences rather than products for example. We can
work with you to create the rewards for each level, ideally we
should start low, £5 - £10, which could be for a personal thank you
on Twitter/Facebook and build up to £1000 which could be
sponsorship options.
6. Create a mini communications strategy, which includes
all the actions that need done along with the deadlines and
responsibilities to manage your project effectively. For a rough
guideline, plan to spend at least an hour a day on your
crowdfunding campaign.
7. Create a launch announcement for social media, and also
a press release announcing the project going live, perhaps
even a launch event to jumpstart the project.
www.bloomvc.com
Top Tip
Keep your project fresh – can
you add new images or a new
video to keep attracting new
eyes on your campaign?
Top Tip
Make sure you embed your
project onto your web site –
and that of any friends/family/
colleagues willing to support
you – to drive existing traffic
to your new project.
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13. Final checks
Here’s a checklist against which
to benchmark your project:
Your goal
Is it clear and obtainable within a proper timeframe?
Your project tagline
Is your tagline 120 characters or fewer and URL/SEO friendly?
Your description
Does the short description grab attention and compel viewers
to click through to your project? Does the long description
tell a fascinating story and keep interest right to the end?
Your rewards
Are they desirable? Are they varied enough, both in value and
content? And is there a unique aspect, something only backers
of your project can have?
Your target
How much do you need? Have you explained what you will spend it
on and how you will spend any money over and above your target?
Your team
Can you deliver? Are you happy that you/your team (obviously
featured in your long description) can meet your goals, deliver the
rewards you have promised, and go on to deliver on your business
objectives?
Your call to action
Do you have one? Have you made sure it’s clear, simple and
provided all the necessary links to make it easy for backers?
And finally, an incredibly important question …
Does it make you proud?
Is it compelling, will it make a difference, will your backers want
to join you on your journey?
If your answer is a resounding YES to ALL of these criteria, then
we think you’re good to go. Otherwise, give us a shout – we’re
here to help.
www.bloomvc.com
Top Tip
Use the Comments section on
your project to keep backers
– existing and potential – up to
date with progress.
Top Tip
The magic 20% - make sure
your friends, family and
colleagues support you in the
first few days. It builds
momentum and gives comfort
to strangers to your project.
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14. Campaign communications
So you’ve worked hard with the
Bloom team to create a great pitch
and your project is live on the site.
Now you can just relax, right? Afraid
not, your project launch marks the
beginning of the real hard work
– you have to promote your project,
engage with your community, get
people to promise money and keep
interest up over your project lifetime.
Don’t panic – we’ve outlined the key things you need to do to make
your project a success and created a week-by-week guide.
1. Commit enough time to your
project
This is absolutely crucial to the success of your project and you
need to commit time every day to work on your project – whether
that’s spending time on social media, asking your contacts to
support you, or getting out there and telling everyone about your
project in person. We recommend about 30 – 60 minutes a day
(more if you can manage it) to keep your community engaged.
2. Tell people what you are doing
This is absolutely crucial to the success of your project and you
need to commit time every day to work on your project – whether
that’s spending time on social media, asking your contacts to
support you, or getting out there and telling everyone about your
project in person. We recommend about 30 – 60 minutes a day
(more if you can manage it) to keep your community engaged.
3. Ask for the money
It’s all well and good asking for support but at the end of the day
you need promises to reach your target and get the cash you need.
Don’t be afraid to ask for the money, it shows determination and
ambition, and most people will give it to you! Always keep your end
goal in mind.
4. Keep motivated
Projects typically have high interest at launch, which can
sometimes drop away during the middle of your campaign, don’t
worry and don’t give up! Remember this is normal and redouble
your efforts to get people interested and excited – if they know
how much it means to you, they are more likely to make that
promise.
5. Keep your eyes on the prize!
All this is hard work, and we’re open about that from the start.
You might be surprised by the level of effort and commitment your
project will take, which is why you need to focus on what you can
achieve by the end of it. Not just the funding you need, but raising
awareness, building an engaged community, proving your concept
and perhaps even pre-selling your product.
www.bloomvc.com
Top Tip
Create at least one unique
reward, something people
wouldn’t ever be able to have
if they didn’t back your project.
And make sure the rewards fit
the value, backers need to
feel they’re special and
worth having.
bloom vc
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15. Social media for crowdfunding
Crowdfunding success depends on
the community you bring with your
project and how much you engage
with them. That’s why the use of
social media, and building a following
on Facebook and Twitter before you
launch, is incredibly important for
your project. In fact, effective use
of social media is crucial for any
business/community.
The problem is some people don’t know how to use social media,
or use it in the wrong way. Don’t panic! The Bloom team is
experienced in social media strategy and will help you promote
your project. However, this works best if you are also engaging
with your community.
We’ve set out some useful tips for how to use social media: -
1. Get chatting
Building a following always takes time, but you need to start the
process by following other people, groups, businesses and talking
to them. Show interest in what everyone else is doing, and they’re
much more likely to do the same!
2. It’s not all about you
It’s easy to fall into the trap of only talking about your business/
project, but it’s pretty boring for everyone else, and you’ll soon run
out of things to say. Share relevant content, and engage your
community by asking them questions and listening to what they
have to say.
3. Keep it up
Don’t leave your profiles for long period with no updates, as your
followers will disconnect and lose interest. Keep up regular
updates, and mix up the content.
4. Go public
too often people have conversations privately and no one else can
see what’s going on. Thank your backers, answer questions and
talk about offline progress publicly so that everyone can see the
interaction and interest, which also allows others to jump in.
5. Measure interest
keep an eye on the interaction on your posts/tweets e.g. likes/
comments/retweets, and be smart about what and when you
update. Is a certain day or time more active? Do pictures or links
encourage more interest?
There’s loads more we could tell you about social media - and we
will - but for starters if you follow these 5 key tips, you’ll engage
more with your following and attract more backers to your project!
www.bloomvc.com bloom vc
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16. Acknowledgements
www.bloomvc.com
Bloom wouldn’t be what it is
without the passion, enthusiasm
and determination of the Bloom team
– and without the passion, enthusiasm
and determination of our crowdfunders
and backers.
We thank you all.
Happy crowdfunding!
This Guide is brought to you by Michelle Rodger and Cara Pleym.
bloom vc
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Clyde Offices
48 West George Street
Glasgow
G2 1BP
0845 2696296
Contact us
Somerset House
Strand
London
WC2R 1LA
0203 397 7698
eva@bloomvc.com
www.bloomvc.com
@bloomvc
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