Wow, what a ride! When we first launched our crowdfunding campaign for the new Verde Juice retail store on San Mateo, I was pretty nervous. It turns out, however, that there are plenty of Santa Feans eager to get a discount on cold-pressed juice by placing their orders early. We’ve pre-sold nearly 3,900 bottles!
Although the clock is ticking, you haven’t missed out yet! Until midnight on Thur, Oct 30th, you can still add your name to the long list of 180+ funders at igg.me/at/verdejuice
If you’ve never experienced crowdfunding, here’s a little primer on how it works.
Traditionally, financing a business involves asking a few people for large amounts of money. Crowdfunding allows a start-up business (or a community project) to reach thousands of potential funders, asking each to contribute a small amount over the internet.
While supporters can give money strictly for warm-fuzzies, most crowdfunding involves a benefit or perk. Often, a pledge of support will come with a promise of the product being developed, usually at a discount of the expected retail price. The most successful and perhaps well-known Kickstarter campaign for Pebble smartwatches raised over $10 million this way.
Crowdfunding takes place on a hosted platform. Kickstarter is the largest platform generating the most revenue for business ventures – more than $1.3 billion in pledges. IndieGoGo is smaller, but less restrictive. (Kickstarter won’t accept charities or community projects.) Other platforms include RocketHub, CrowdRise, Quirky and others.
In addition to raising startup capital, crowdfunding is also a useful marketing tool, which can’t be overlooked. Kickstarter reaches 14 million people a month according to Forbes.
Got a community art project or business idea you want to crowdfund around? Verde Juice received some great advice from a SCORE seminar led by Marcia Kaplan. We called on friends and customers to be our Stars and hired students from the University of Art and Design film school to produce our video:
A huge thanks to all of our supports. And for those of you ready to experience the benefits of crowd funding, please check out our awesome perks here.