Raising Capital Through Crowdfunding? Put Equity Crowdfunding Promotion at the Top of Your List.
Equity crowdfunding is emerging as the funding tool of choice for companies of all stripes and sizes from startups to corporations listed on stock exchanges. We’ve seen a stumbling block for equity crowdfunders that their kissing cousins in the reward crowdfunding sector have been hampered by for years; a lack of public awareness. This is a conundrum with a simple cure; equity crowdfunding promotion.
Once and for all we need to murder the myth of “build it and they will come” as it pertains to launching a crowdfunding campaign. ANY crowdfunding campaign. The mistaken notion that just putting together a crowdfunding project and launching it will get you to your funding goal really has to go to the graveyard of urban legends. We’re talking dead and buried here.
Cruise any five crowdfunding platforms you like – Kickstarter, EquityNet, Crowdfunder, Indiegogo, RealtyShares, WeFunder – and all of the rest and one pattern emerges immediately; too many crowdfunding projects are falling too short of their goal. Let’s be clear that we’re not calling out any equity crowdfunding platform mentioned; we know for a fact they are all excellent. The problem isn’t the platform, it’s the project. What’s the problem? An astonishing lack of public awareness.
Browse a few equity crowdfunding campaigns and your eyes might pop out of your head as you see a $15 million equity crowdfunding project that’s $10 million short of its funding goal or another with a $22 million goal stalled out at 50% with no clear signs of where that other $11 million is coming from. Or when. There are many campaigns with goals well below $1 million that have yet to raise their first dollar.
The industry of the investment opportunity is irrelevant; from real estate to pharmaceuticals to logistics to hospitality the results remain consistently lackluster if not downright poor.
What is the one thing all of these different projects in diverse sectors of the economy have in common? Little or no effort in equity crowdfunding promotion.
In fairness to the management teams at all of these different campaigns it must be said that conventional crowdfunding marketing just won’t do. It most cases it can’t. There are rules and regulations out there that must be strictly adhered to when promoting an equity crowdfunding campaign. Things NOT TO DO include equity crowdfunding promotion for your new medical device as “guaranteed to save lives every time” or promising investors they’ll be rich overnight investing in your new method of making and delivering pizza or proclaiming your new manufacturing process in constructing shipping pallets is “the best ever”.
Those kinds of messages might be useful in the marketing department when it comes to driving sales but can’t do a thing to help you with raising equity. The key to equity crowdfunding success is public relations. That’s when the right message is delivered to the right audience in the proper way. And that’s where Crowdfund Buzz shines through…
We Reach Investors Like Nobody’s Business.
With years of equity crowdfunding promotion experience under our belt we know exactly what to do to deliver effective crowdfunding public relations that’s 100% compliant and absolutely compelling to the precise audience you need to reach; investors.