5 Keys to Raising Millions with Equity Crowdfunding
* This is a shortened version of our newsletter at Meet.Capital. Every week I interview startup founders, investors, and experts on our podcast, then share the insights and takeaways in our newsletter.
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This week at the Meet.Capital podcast I was joined by Jason Fishman , CEO of Digital Niche Agency (DNA), who helped startups raise more than a billion dollars via equity crowdfunding. Jason shared some stats, showing that startups can raise millions of dollars marketing their offering on social media and elsewhere, but there is also a high failure rate.
He gave me his five tips for getting it right. The first two relate to the decision of whether or not to raise from the crowd and the last three are about managing and operating a campaign successfully:
1. Start with guidance: Engage with consultants, coaches, and advisors who specialize in crowdfunding to help with the setup process, assess readiness, and choose the right crowdfunding portal based on success rates, live campaigns, and funding achievements.
2. Raise at least $100k for the round, ahead of time: Don't launch a crowdfunding campaign unless you're confident you can secure at least $100,000 from your existing network. This initial amount will kickstart your campaign and provide the social proof needed to attract further investment.
3. Rally support: Before and during the campaign, strategically engage customers, clients, anchor investors, strategic partners, and anyone with a sizable and engaged audience. The goal is to create a buzz around your campaign, ideally getting different groups to promote your company on various days to maximize exposure and interest.
4. Have a detailed marketing strategy:: Many campaigns fail because they lack a clear plan for achieving milestones. Create a content calendar with headline-worthy announcements and follow a structured strategy to guide your campaign.
5. Keep optimizing. Regularly analyze campaign data to optimize your approach. Be prepared to make adjustments as needed and don't give up, regardless of the challenges.
领英推è
That’s all for this week.
Yours,
Tzakhi and the Meet.Capital team
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