Take time with crowdfunding
June 04, 2013
These days, it seems like almost everyone has tried crowdfunding, which occurs when individuals or groups seek out small, affordable donations from a multitude of people. So many folks, community groups and nonprofits have started their own Kickstarter or Indiegogo campaign to fund various events, initiatives and even film productions.
This seems to be a lucrative avenue for many charities, mainly because interested parties don't have to give a lot of money to support their causes. However, some experts are extending a word of caution to administrators. TechCrunch explained that these types of groups need to do some research and experimentation before they start these online projects.
The news source predicted that crowdfunding, as it's becoming more popular, will soon be subject to increased scrutiny and laws. TechCrunch recommended that any nonprofit that is considering or or has already participated in this form of funding keep a close eye on regulations so they remain compliant.
This advice comes in time to coincide with the emergence of a new crowdfunding website, according to Tech Cocktail. CrowdIT opened publicly on June 4, though it has been around since March, garnering interest from 150 businesses in the technology, creative and nonprofit spheres in about three months.
As foundations tap into emerging digital channels to raise funds online, they can benefit from nonprofit fundraising software that tracks incoming donations and quantitatively measures the success of their efforts.