Crowdfunding has been a very potent financial tool for startups which allows them to get over that initial roadblock of capital raising. It even gives them the chance to directly be in contact with stakeholders that matter when it comes to their future business. The platform links them up with angel investors that could turn up to be partners down the road.
Social funding also exposes them to vendors and other suppliers that they could be working with in the future. However, one of the most important connections that happen in a campaign is being able to reach out to the market itself. Those that would essentially be customers down the line are the ones helping make the business a reality at present.
With all these connections, there is another item that comes into play and one that is oftentimes more important to people than the financial aspect of the industry – a future that they want. Apart from the business side of the industry, it’s donation platform largely remains to be a force by which Society makes their voices heard. Regardless whether it is to approve something that is currently underway or to vehemently oppose the same, the bottom line is that crowdfunding acts like a social megaphone and gets people heard.
Crowdfunding gives people the voice
If you are quite hesitant in believing that the platform has such effect on society, here are some of the ways by which social funding is able to shape the future.
- Putting the money on areas they want. There are specific industries that can vary in importance from one person to the next. One might see education as a food driver of the economy while others want to see the healthcare system improve. The reason for this is that there are no two people who are alike and at different stages in life, priorities shift. Crowdfunding gives people the opportunity to choose the areas they want to support based on their preference.
- Circumvent the system. The taxes are collected from people but disbursement is decided by people in power. How much goes to what area in society depends on these people. Crowdfunding allows the taxpayers to go around this and directly put money on issues or institutions that they deem needs financing the most. This in a way gives them a workaround and a direct hand in improving specific areas in society.
- Reach out to specific groups of people. Having the ability to directly reach out to the ones you want to help is another way crowdfunding shapes the future. If you wanted to help a homeless person across the street, would you go to a shelter and donate so they can help more or simply cross the street and extend assistance? The platform gives you the chance to actually do both – you can still give to large institutions but you also have the option of actually reaching out to the person and helping them directly.
- See the change they want to happen in the world. Having the chance to address the problems that matter to you is one of the biggest things to come out of crowdfunding. You have the chance to shape the future you want by doing your part in addressing issues in our society.
This article is written by the Crowdfunders Editorial Team. In Asia, Crowdfunders.Asia is a leading portal on providing news related to crowdfunding, start-up, property and business. It is operated by CoAssets.com. CoAssets is South East Asia’s first listed and largest real estate crowdfunding platform. If you have any Crowdfunding news or stories to share, please email [email protected]