A crowdfunding campaign, if marketed correctly, can really get people excited. There is nothing more thrilling than finding a new product or new idea in general that is fun, exciting, and even practical. It is even more exciting when it feels like not many people know about it yet.
InventureX, a company that specializes in crowdfund marketing, has partnered with a lot of entrepreneurs and inventors that have launched these types of exciting campaigns. They help ideas become realities, ultimately delivering a product that often exceeds expectations.
Unfortunately, there are campaigns that are all hype, but no substance. Scams are prevalent in every part of business, and crowdfunding is no exception. How can a person know if a campaign is a scam? Here are three things to look out for.
Trust Your Gut
If something sounds too good to be true, it probably means that it is. A lot of times, people can just have a weird feeling about certain campaigns for one reason or another. Maybe it sounds too much like a sales pitch, or maybe it’s just seems like an impossible idea to come to life.
In many cases, those who are skeptical in the beginning have reason to be skeptical. If nothing else, trusting your gut will at least make you pause a little bit before putting money up.
Research the Company or Person Behind it
There is really no excuse for not researching a company or person behind any crowdfunding campaign in 2019. Just doing a simple search online will probably reveal a lot of the information that may or may not be useful.
Knowing more about the person and the company behind a product or campaign is going to ultimately help a lot. This is especially true when deciding to donate to a GoFundMe or other charitable campaign, as these campaigns can prey on vulnerable individuals. It’s important to research the person and make sure everything adds up before donating. The last thing you want to do is donate your hard-earned money so someone else can go on an undeserved luxury vacation!
While researching is important, there are those cases where there will be brand new entrepreneurs running a campaign for the first time. Research can still be done on them, and the most successful entrepreneurs will usually have a well-presented plan. Don’t automatically dismiss a campaign just because the people behind it lack any type of history. Just research it more in other ways.
Read the Comments Under the Campaign
Yes, the comments section on the internet can be a dangerous place to look around. However, under crowdfunding campaigns, they are useful in most cases. Since people are using their very own money to support certain products, they are very invested in exactly what the campaign is about. Instead of wasting time with meaningless comments, there is usually some very smart commentary down there.
In some cases, the person running the campaign will also respond to questions in the comment section with additional things. It is always something to look out for if something seems a little bit confusing. Maybe someone else already had the same type of question, and the answer can be found down in the comments section.
Before ever putting any money towards a campaign, pause and think about where the money is going and if the campaign is worthy of your investment. Trusting your gut and doing your own research will help you to make smarter decisions overall.