You may have heard or read about crowd funding, it has recently become very popular. Especially with the indie filmmaking crowd.Â What is it? Crowd funding is where you have a project and you reach out to people for financial support (usually via the web) to fund your project.Â Donations can be anywhere from $1 to thousands of dollars.
Why would people do this? Quite simple: they have a project they want to do but need the funds to do it.Â There are a lot of examples I could use but since Iâ€™m most familiar with crowd funding films, I will stick with them.
The economy isnâ€™t the only thing to have taken a hit.Â The film industry is quickly finding out that the way people watch theyâ€™re entertainment is changing.Â And making $200 million dollar films in a recession is just ridiculous.Â Plus, the last few years the Academy Awards have shown quite a bit of love to independent films. (Generally shot for under $15 million.) So many up and coming filmmakers are looking to raise funds to shoot their project, whether it be a film, webisodes, pilot, documentary etc. There are two well used platforms to do this: Indiegogo.com and Kickstarter.com.Â Below I will explore the pros and cons of each.
Iâ€™ve used this site twice.Â I believe itâ€™s the more well known of the two.Â Itâ€™s fairly easy to start the campaign.
- You first have to write them stating about your project, what you want to raise, what rewards youâ€™ll offer etc.Â If they accept it, youâ€™ll get access to making a page.
- Now for the busy work.Â You need to come up with a compelling description for your project and an honest reason why youâ€™re raising the funds.Â Also, you create donor levels (ie. $5, $25) that offer perks to the backers.Â These need to be great incentives for people to give you money.Â They donâ€™t need to be expensive, in fact some of the best rewards are unique ones like a â€˜sit down with the director and starsâ€™.
- You should create a video.Â Either a trailer for your project, or a video of the actors and director talking about the project. Itâ€™s a fantastic call to action.Â People like connecting with who they are giving money to. Donâ€™t cheat them.
- You set the time limit of your campaign.Â Generally it runs between 30-45 days.
- You spam every network you can with links to your site.Â You need a wide net.Â Most people donate between $5-$25 and if youâ€™re raising $10,000 you need many donors.Â So work that FB, Twitter, Linked In, Pinterest and Google+!
Hereâ€™s the Kicker: Kickstarter takes 5% of whatever you make and iif you donâ€™t make your goal, you get nothing. Thatâ€™s right, nothing.Â So you have to set a reasonable goal and hit it.Â Kickstarter has recently had multiple projects hit over the $1 million mark.Â Now thatâ€™s some funding!
Indiegogo is another site very similar to Kickstarter.Â They are almost identical in their layout.Â They have the perks, video, description etc.Â The only differences are:
- If you donâ€™t meet your goal, you still get to keep the money raised.Â Great right? Takes a little of the pressure off.Â But thereâ€™s a catch.
- If you make your goal, you pay Indiegogo 4% plus an extra 3% for credit card fees.Â However if you donâ€™t make your goal you pay 9% plus the 3% for credit card processing.
Both sites have their pros and cons.Â Check them both out, look at some of the projects on them and get a good feel for your style.Â They are a fantastic way to make your dream project a reality!
Lisa Coronado is a content writer for CoolBlueWeb who are a Seattle Magento Developer.