It’s an exciting time to live in without a doubt.
But where is crowdfunding going, and what can we expect in the years to come as it evolves and carves out a bigger niche in the way projects and businesses are funded?
In this brief article, I’m going to reveal three distinct evolutions I see on the horizon for Crowdfinding.
Crowdfunding Evolution #1: Travel & Enrichment – As crowdfunding technology to accept donations gets better …not to mention more secure and more intertwined with social media… expect to see more and more kids groups, shools, and college students raising funds for class trips and travel abroad on Facebook, Twitter, Myspace and YouTube.
Crowdfunding has already started to transform the way non-profits raise funds online – expect to see similar transformations within kids groups like the Girl Scouts, Boy Scouts, Church groups, and schools.
Crowdfunding Evolution #2: Crowdfunding Ambitious “Side Projects” Become Career Fodder – Each one of us has a side project or idea we’d love to work on. What we lack on the whole is the cash and time to devote to our passions. Enter Crowdfunding.
Crowdfunding has already made it possible for projects like the “Prometheus Polywell Reactor” in Brooklyn NYC to get off the ground. As more and more passionate people are able to spend free time (or crowdfunded working vacations, as in the case of the Diaspora Social Network Project on Kickstarter.com) expect to see the private sector and even colleges looking more closely at the projects we do in our spare time to enrich our lives.
I might not have the career chops at this point in my life to land a job as a designer of technology, but if I were to get crowdfunding to build a new bluetooth device, I’d have something very real and inovative to show off in an interview. Plus, proof of a successful crowdfunding project shows initiative, determination, and social prowess… three extremely valuable traitis in the blossoming Internet economy.
Crowdfunding Evolution #3: Crowdfunding as Investment (Securities) – This ball is already rolling. The SEC has been petitioned by a group of avid crowdfunding enthusiasts to change it’s rules and regulations in regards to the way investments can work on a micro level.
What this could mean, is that through crowdfunding, you could start a business and accept actual investments from the “crowd” (essentially, the Internet communities you have influence over become real investors who get dividends and everything).
Imagine: In just a few short years, we could all be investors in small businesses – granted, the investments would likely be small at first… The proposed new rule would allow investments up to $100 – but for local communities and small business startups, investments of $100 from a small crowd of enthusiastic supporters could mean the difference between success and failure.
Crowdfunding is an exciting concept – one that’s really started taking off now that the technological infrastructure for it is finally developing at a speedy rate. In the next few years, expect to see a lot of projects, companies, and wonderful things of all sorts getting crowdfunding donations through social media.
But there’s no reason to wait around for that bright, shiny future, since for the most part it’s here right now. If you have an idea, a passion, or an idea for a business, you could be receiving crowdfunding donations as we speak, with as little as 90 minutes worth of work.
Hit the next page now, and grab the free interview I recorded recently with Crowdfunding expert Tellman Knudson. It’s free, it’s quick, and it will give you the resources you need to avoid the major pitfalls and traps that cause many crowdfunding projects to fail.