What Is Crowdfunding?

It is a process by which people give a small amount of money to collect a large amount of money usually for a cause.  It is kind of an alternative finance and crowdsourcing. There are several kinds of crowdfunding, the internet being the main. It consists of 3 parties, the party that will be getting the money, the party that will be arranging the crowdfunding by providing a platform and the people who will be contributing for the cause. Crowdfunding is done for several causes including travelling entrepreneurial ventures, medical reasons and others. Crowdfunding is a very important way of collecting money.

Why is crowdfunding important and how long has it been around?

Crowdfunding is essential in places like India because most people are below the poverty line and can’t pay their medical or other bills. Crowdfunding in its raw form has been around for quite some time.  Fundraisers in India have known to collect money from the people on the streets by showing their medical bills for quite some time. However, doing it with the help of internet increases its legitimacy and makes everything happen in a more organised way.

Crowdfunding can also be essential if you are trying to start a business because crowdfunding can also increase the customer base and make more people aware of the initiative. Fundraisers in India especially, have been known to use crowdfunding to start their business ventures. One must however make sure how he is executing his campaign because a poorly executed campaign won’t garner a lot of attention.

Building Community through Crowdfunding:

It is a process by which people give a small amount of money to collect a large amount of money usually for a cause.  It is kind of an alternative finance and crowdsourcing. There are several kinds of crowdfunding, the internet being the main. It consists of 3 parties, the party that will be getting the money, the party that will be arranging the crowdfunding by providing a platform and the people who will be contributing for the cause. Crowdfunding is done for several causes including travelling entrepreneurial ventures, medical reasons and others. Crowdfunding is a very important way of collecting money.

Why is crowdfunding important and how long has it been around?

Crowdfunding is essential in places like India because most people are below the poverty line and can’t pay their medical or other bills. Crowdfunding in its raw form has been around for quite some time.  Fundraisers in India have known to collect money from the people on the streets by showing their medical bills for quite some time. However, doing it with the help of internet increases its legitimacy and makes everything happen in a more organised way.

Crowdfunding can also be essential if you are trying to start a business because crowdfunding can also increase the customer base and make more people aware of the initiative. Fundraisers in India especially, have been known to use crowdfunding to start their business ventures. One must however make sure how he is executing his campaign because a poorly executed campaign won’t garner a lot of attention. The kinds of causes that will help you give back to the society and bond over are:

  1. Create care packages with vital resources for homeless people
  2. Help local animals around the area that might be ill or injured
  3. Create a relief fund for neighbours affected by a disaster. This can seriously help build connections with people around us.
  4. Start a scholarship fund for students who might not be able to afford it for themselves.
  5. Create a community garden. This can help connect loads of people.
  6. Raise funds for a service dog who might be in need
  7. School fundraising

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