Crowdfunding - Personal Support for Your Start-Up

by Richard C. Raynard, Ph.D.
Licensed Clinical Psychologist

Now start-ups can get funded by people who just like your idea and can put up a few bucks, rather than by equity funding, IPO's and other venture capital groups.

A New Way

Traditional funding for start-up companies relies on proven concepts and the potential for big profits. It call for much paperwork - budgeting, projections, presentations - and just the right contacts. It calls for big money, too.

Crowdfunding means that you can raise money online from those who just like your idea and want to support it in a small way, a few dollars up front. Now you can reel out a great idea online, maybe one you have been thinking of a long time, and have at least the beginnings of a workable project  In a sense, your marketing has been done before the product is delivered. This is very different from the traditional marketing and public relation approach

Maybe the biggest difference is that you build a community around your project who will offer their advice and experience, and cheer you on your way. They will give you feedback as your project develops and help things move along. They don't expect a return on investment, just being part of something they believe in.

Kickstarter is one site for this grassroots venture capital. Amazingly, Yancey Strickler, its co-founder, has directed over $435 million into about 37,000 projects. You can see some fascinating start-up inventions in Popular Science (May, 2013).

You can imagine that much innovation will get under way that has bogged down from a lack of support, isolation, and needed feedback. And imagine the stimulus that comes from those who believe in you and are cheering you on!

Viva crowdfunding!

About Dr. Raynard
Dr. Richard Raynard is a licensed clinical psychologist with 35 years experience resolving a broad range of emotional problems. As a cognitive-behavioral therapist who has specialized in anxiety and phobic disorders since 1980, he has spent the last 35 years fulfilling his life-long desire to explore and define the true purpose of emotions and how people can easily use emotions to create meaning and satisfaction in their lives. Dr. Raynard's series of books on emotions can be found on Amazon.com. His other books include Don't Panic, and Anxiety & Panic Medications.