Not too long ago we told readers about a new trend of businesses using Internet communities to generate advertising ideas and media, or crowdsourcing, and today we would like to introduce you to crowdfunding, an idea that has been directly inspired by crowdsourcing. What crowdfunding is in essence is the practice of a collective group of people pooling their money together to support or fund ideas, efforts, or businesses started by other people, usually over the Internet. Funded projects range from filmmaking and artistry to helping start-ups and small businesses get off the ground; and while some efforts are strictly fundraising, the majority of crowdfunding projects involve the “investor” getting something back in the end. A well know crowdfunding site, Kickstarter.com, funds creative projects through donations with donors receiving rewards such as products or services. Sites like Cameesa and Catwalk Genuis have fans investing and involving themselves in the creation of a designer’s new line in exchange for a share in the profits. Even sites like Crowdcube enable investors to invest small amounts of money in start-ups in exchange for real equity and a chance to build their investment portfolio. There is a new site for every product and every angle but the up and comer everyone is talking about right now is Wahooly. Wahooly is in the business of helping start-ups gain users by offering stakes in the start-ups. However instead of asking for monetary donations, users are asked to promote the start-ups through their social media sites and platforms. The program is designed to appeal to those who are immersed in social media and consider themselves influencers. The process of dividing up equity between users is competition based, so your stake in the company will increase or decrease depending on how hard and often users work to promote their chosen start-ups. Considering the continuing rise in the already overwhelming amount of people that use social media sites, this seems like a great way for start-ups to gain widespread exposure and a great way for people to make money while doing things they were already doing before. Wahooly is a start-up itself and hopes to officially launch in January with 200 startups. Currently they have 41 start-ups on board and a growing base of 16,000 users.
- Site Redirection
- Parkway Partners Celebrates 30 Years!
- Meet Our Summer Interns!
- Pinterest, the Social Network Women Love!
- A Few Good Reasons Why Your Business Should Have A Social Media Policy
- Fast Equity Through Social Media
- 6% of the World is on Facebook!
- Word of Mouth Marketing: How to Reach Out to the Influential Bloggers
- Google Buzz: Buzz to Your Advantage