HOW TO GET THE MONEY YOU NEED

THROUGH CROWDFUNDING based on best practices presented by

Hall T. Martin, Director Texas Entrepreneur Network

What is Crowdfunding?

² A new source of capital ² Sourcing funds for a startup through the internet ² Funding comes in smaller increments but from more investors

HOW DO YOU GET THE FUNDS?

Rules to Play By

Answer the questions: ü  Why are you unique and worth funding? ü  What makes you interesting enough to cut through all

the Internet noise and be seen and heard?

Develop a Great Idea and a Great Team

Rules to Play By

 ü  Engage your network to start ü  Leverage your own network. Only 2% of the

funding comes from outside your network ü Develop and run a broader PR campaign

Understand Your Network is Your Greatest Asset

Rules to Play By

ü  Show how the funds will be used, in detail ü Make the plan look realistic and achievable      

Understand that You Must

Demonstrate a Detailed Plan

Rules to Play By

ü  Enough funding to accomplish the project ü Asking for the right amount shows you know

what you’re doing      

To Get Funded, Ask for a Realistic

Amount of Funding

Rules to Play By

ü Ask for feedback ü Respond to questions quickly and with

competence ü  Start a dialog and then build relationships with

investors      

Remember Communication is

Key

HOW DO YOU PLAN A GOOD CAMPAIGN?

Planning Phase: 3 Months Pre-Launch

ü Visit Crowdsourcing.org and talk to others to find the right platform for your idea

ü  Think about who would fund your project, and where they’d be looking for projects like yours

ü Consider the platform’s requirements and benefits

Find an Online Platform

Planning Phase: 3 Months Pre-Launch

ü  Show yourself--introduce your name, position, and company

ü  Show the product/concept so people get it ü  Follow up with the competitive advantage, target market,

intellectual property, and the team ü  Talk about how much you are raising and how the funds

will be used ü Close with a Call to Action ü Keep it short-- no more than 2 to 3 minutes ü Open with an attention getting line ü  Show passion and enthusiasm ü Use high quality audio ü Avoid distracting backgrounds and noises

Prepare Your Pitch Video

Planning Phase: 3 Months Pre-Launch

ü Write a 5 word tag line ü Write a 250 word description of the deal

including: •  What it does •  Why it is important •  How you will accomplish it •  What is unique about it •  How much funding is required

Write a 250 Word Description

Planning Phase: 3 Months Pre-Launch

ü  50 to 100 word description of yourself ü Demonstrate your capability and experience

Write Your Biography

Planning Phase: 3 Months Pre-Launch

ü Develop an Executive Summary/Pitch Deck ü  Setup blog/Facebook/LinkedIn/Twitter pages ü Develop an Updates plan

•  Product developments •  Team news •  Fund raise status •  Customer traction

ü  Prepare your network •  Identify core & secondary network contacts •  Setup a weekly mailing schedule •  Identify broader media targets for PR

Prep Your Other Materials

Planning Phase: 3 Months Pre-Launch

ü Raise 20% of your funds target before you launch. This will

help you know if your idea is fundable. Practice your pitch and refine pre-campaign.

ü Consider breaking the campaign into smaller mini-campaigns and using different models for Crowdfunding.

ü  Set a campaign that lasts 30, 60, or 90 days. Consider the season: How many people will you actually reach in, say, December?

Set Your Timeline

HOW DO YOU RUN A GOOD CAMPAIGN?

Launch Phase: 30 – 90 Days

ü  It’s a full-time job that requires your interaction ü  Follow up promptly on emails about the campaign ü Monitor the campaign mailings ü Adjust the product, pitch, and program based on feedback ü Create and adhere to an updates calendar

Remember, YOU are Running a Campaign

YOU GOT THE MONEY, NOW WHAT?

Post Campaign Phase: One Month

ü  Fulfill the promises you made ü  Finalize documents ü Remember to thank all those who supported you

Follow-Through with Gratitude

GO GET ‘EM, SLUGGER!

Thanks to Hall Martin from the Texas Entrepreneur Network for the content of this presentation. If you’d like a presentation designed for you, contact me, Dawn Weathersbee, at dawnweathersbee@gmail.com.