Raising money for your business idea.

In South Africa you see a lot of struggling entrepreneurs because they don’t have enough money to support their ideas. In my life, I have come across various individuals with their own businesses. From those individuals, I learned that most start-up businesses often need cash injection to get started, so I took it upon myself to find a possible solution – this is how crowdfunding can help support your idea.

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Crowd funding is a new way of giving back to the society. It gives power to people to financially help one another. The best thing about crowd funding for a project is there are no bank loans, red tapes or investors that you have to deal with, it’s just your idea and members of the public who want to support it by contributing money. All you need is a plan: a brief description of your project, photos and s short video explaining why people should back you.

In South Africa, more than 20 different crowd funding websites exist. However, some of the international sites such as Kickstarter  don’t work in south Africa. Before deciding on the crowd funding platform, start by finding out how much that site has raised, whether your project suits the website (check if you meet the requirements) and check if all projects are fairly/equally advertised or if only the best ones are advertised.

Some crowd funding sites require you to offer something to the donor in return for supporting your project. This is considered as a reward and can be literally anything such as printed t-shirts with your logo, free product samples or a shout out on social media. Don’t do too much, go for something cost effective in order to avoid spending all the money you raised on rewarding you supporters.

My favourite crowd funding story.

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Siysfunda Isizulu

Platform: Thundafund

Goal: R155 000

Money pledge:  R175 000

Reward: 1000 free books to children who can’t afford Siyafunda.

1 thought on “Raising money for your business idea.”

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