Customers have more money than investors.
By Samson Williams, President of the Crowdfunding Professionals Association
Your customers have more money than investors. That's it. Thank you for attending my Ted Talk on investment crowdfunding.
For those of you who are still in the audience reading, I’ll expand on that simple yet groundbreaking revelation. Did you know that customers have more money than investors? It's true, you know. Yes, yes, I know, you’re thinking “How could this be true? How could customers have more money than investors? Aren’t investors what make businesses profitable?” No. Investors don’t make businesses profitable, customers do. Who do you think pays your investors off and enables your comfortable living and lifestyle? Not you. Your customers do.
Follow the Money → Investment Crowdfunding
The simplest way to understand the power of investment crowdfunding is to look at it from the most obvious perspective.
Why aren’t your customers also your investors?
Every revenue model you have is dependent on customer acquisition, customer loyalty, customer retention, and of course, customer sales. So...why aren’t your customers also your investors?
Traditional investors don’t typically use your good, product or service. Your customers do. Your investors want, dream, demand, desire and plead for your customers to be exactly that, customers for your business. So, why are you trying to fund and grow your business by dealing with the 2nd oldest middlemen in the world, investors? Why aren’t you asking your potential customers to do two things:
- To buy a good, product or service; and
- Invest in the business whose products you love so much, because you actually use them.
Raising Money Is Hard AF
Entrepreneurship is hard AF. Raising money for your business is twice that under even the best circumstances. Well, if you have a rich auntie raising money for your startup or business, that part may be easy. But even those rich auntie ventures fail. Why? Your auntie can’t be your only customer. You need customers to grow your business, help scale your business and more importantly you need lifelong, loyal customers to make your business sustainable. When raising capital is hard AF how do you innovate and get lifelong customers? Enable them to be shareholders, too.
JOBS Act Equity & Debt Crowdfunding
Starting a business is a great way to lose your mind, love life, close relationships, sanity, all of your money, your friend’s money, your family’s money and a stranger’s money. Depending on the industry 90% - 98% of businesses fail. Now that I say that, I can’t think of a good reason to start a business, much less invest in one. Investing in startups is even more harrowing and risky than starting one. That said, if you dare do it, boldly step to the edge of your comfort zone and leap into the fear, uncertainty and doubt of entrepreneurship consider making your parachute your customers.
Consider regulated, investment crowdfunding and enable your potential customers to also be your potential investors. It doesn’t matter how you go about raising money, the odds are against you. In addition to being difficult AF, entrepreneurship is a battle between you and every other dreamer intent on pursuing their passion that sounds very much like yours. So, if you’re going to go to war, consider using JOBS Act investment crowdfunding to recruit an army of customers who are as invested in your success as you are.
To learn more about JOBS Act Equity and Debt crowdfunding visit www.CfPA.org or ask anyone of the crowdfunding experts on CfPA's Crowdfunding Ecosystem website.
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About Samson Williams
President, Crowdfunding Professionals Association. Because customers have more money than investors.
Co-Host, The Space Economy Show, on The Space Channel. Boldly going where no Xenoanthropologist has gone before.
Samson is a classically trained anthropologist, finance and public health expert who advises Fortune 500 companies, Executives and startups in Washington, DC and Ireland. Samson learned his craft as Emergency Manager at Fannie Mae 2008 - 2016 and has since gone on to be a leading advisor to banks and financial institutions in the Dubai / Middle East North Africa region. Samson’s focus is helping firms understand the latest human trends in fintech, digital transformation, the Space Economy and Low Earth Orbit entrepreneurship so that they can make profitable decisions for their bottom lines. As part of this passion for the next steps in Human evolution and cultural development, Samson joined the Space Channel as head of Anthropology and co-host of The Space Economy Show in March 2020. In this phase of his career he is focused on making Space exploration and investing possible for everyone. For more information or to book Samson to present at your event visit www.SamsonWilliams.com.
Empowering Fundraising: US-Based IT Firm Specializing in White Label Crowdfunding Software Solutions
4 个月Samson's insights on investment crowdfunding are spot on. Customers, who directly benefit from and support your product, are indeed a valuable source of investment. By turning customers into investors, businesses can foster deeper loyalty and drive growth. Utilizing the JOBS Act for equity and debt crowdfunding empowers customers to become stakeholders, aligning their interests with the company's success. This approach not only raises capital but also builds a strong, invested community. #Crowdfunding #CustomerInvestment #JOBSAct #Fundraisingscript 4o
Senior Economist | Prof & Speaker | Space?? | USMC????| Maine??| Derivatives| Blockchain| ????? | Energy????| Alt Invest
4 年#reading. -GSP-
Innovation Strategy | SR&ED Funding - VC -Angel
4 年good inspirational value but impractical in too many cases. the value of synergies with strategic investors is non-trivial if you do your homework.
SENW CEO & Managing Broker | AZ, CA, FL, IL, WI |
4 年Works great for famous brands, brands with a following or viral projects. For everyone else it's a pay-per-person marketing hill that makes the pay-per-clicker brokers and email list hoarders rich; especially with a 1.07M cap. Raise it to 5m, have a great idea that is viral capable and some existing organic users that can be your evangelist and it may have legs.