Crowdfunding is a popular way of raising money for new ventures, new products and people who request help. The Enterprises TV show reviews the pros and cons of starting and giving to a people-sourced project or cause.
Many consumers enjoy knowing they helped fund a campaign through crowdfunding. The feel good aspect of pitching in to raise funds for a new product or to help someone financially can be hard to resist. The success of the crowd sourced campaign, or lack of success, reflects on the person or people who initiate it. Know the pros and cons of giving money to someone unknown before donating.
- Dig deep into the campaign to learn more about the person running it and what kind of campaign it is.
- Read everything on the crowdfunding site and on the campaign page. Some campaigns are set up to not take contributors’ money unless the entire campaign total is raised. Ask questions.
- Never donate more money than what is affordable.
- If suspicions arise, contact the crowdfunding site with them. Ask for assistance in determining if the campaign is real or one set up to fraudulently accept donations.
- The Enterprises TV show also cautions that if the campaign does not sound or look legitimate, don’t donate to it.
That said, there are good campaigns on crowdfunding sites too. Research everything about the product, cause or idea, including the person who is running the campaign. There is no such thing as having too much information. It’s your money.