An article just released on Forbes titled “Top 10 Benefits of Crowdfunding” makes the case for crowdfunding by presenting ten strong benefits. Most apply to donation/reward-based crowdfunding, but a few can be applied to the equity model as well. It’s nothing new but serves as a nice reminder of why crowdfunding has the potential to revolutionize fundraising and recharge the economy. They are listed below:
- Access to capital
- It hedges risk
- It serves as a marketing tool
- It gives proof of concept
- It allows crowdsourcing of brainstorming
- It introduces prospective loyal customers
- It’s easier than traditional applications
- It’s free PR
- It provides the ability to pre-sell
- It’s free (more or less, especially with the all-or-nothing model)
You can read the full article and more detailed explanations on the Forbes website by clicking here
** Date: October 12, 2012