Whether it is to start your own company or to grow it to the next level, even the greatest entrepreneurs with the largest amount of business management knowledge cannot avoid fundraising. “Fundraising is not an exact science, there is no recipe for guaranteed success”, says Chris Thomas, founder of international crowdfunding platform Eureeca. Even though it is unpredictable, there are a few aspects that can contribute to the success of a crowdfunding campaign. In our irregular series VC View, Thomas shares his key findings how to successfully run a crowdfunding campaign.
Determine the added value
“Shortage of money leads to creativity and ingenuity: the main ingredients for a successful venture”, Thomas says. Look for creative ways to improve your business. Use the internet, for example, this has made many business processes a whole lot easier. Different kinds of software are available, entrepreneurs can work anywhere they would like to and thanks to e-mail and social media reaching out to people and companies for help is a lot easier. Also, fundraising can get addictive for companies. As soon as the first funding round comes through new employees are hired, new equipment is bought. That money is spent before you even realize it. At that moment, the craving for money starts again for most companies. Before getting in this rollercoaster, it would be beneficiary for entrepreneurs to determine if they truly need the money and if they truly need it right now.