Helpful Pointers to Avoiding Crowdfunding Scams
When it comes to crowdfunding, there is no such thing as certainty. Indiegogo and Kickstarter might appear and feel like online stores, but you are not certain that you will get returns for the cash you pledge to a campaign. A lot of the crowdfunding sites only need that the people creating them provide some assurance that they will deliver on their promises. Hence, they cannot face any consequences in case their project does not meet their deadlines or even deliver.
There are many things which might go wrong between a project getting funded and the delivery of outfits. The person creating the project might have underestimated the right time they require to finish the project. The failure of some projects might be due to some difficulties in manufacturing or the owner mismanaging the lots of funding received. In other cases, things go wrong despite the creator of the project giving their best. Therefore, there is always some risk involved when crowdfunding a project. But, below we discuss some tips that can help you in making smarter choices when supporting crowdfunding projects.
Some ideas are simpler to execute than others. When you see a creator asking for funds online for their project, you have to assess the idea carefully to see if it is easy to implement. Seek for real images of the actual item. You should be careful if all you observe are renderings of the product. There is a higher possibility of failure if you see that the project is complex. However, this ought not be the only thing you utilize to evaluate the validity of a project as a lot of the complex crowdfunding projects are the most enticing ones.
Researching the projects’ creators is another tip. You should learn more about the individual you will be supporting if you will be giving them cash. Check out their profile of social media sites like Facebook or Twitter. If you do not see any details regarding their company or personal profiles, then you should not support them. You will know a lot about an individual in case they are not transparent. It is difficult for the creator to be accountable in case they remain anonymous. On the other hand, if the project’s creator reveals their details online it shows their great confidence and that they are willing to put their reputation on the line.
After assessing their personal information you must then find out more about what they achieved in the past. You can learn if the creator will finish the project promptly if you learn about their past successes. If they have manufactured or developed a product successfully before; there is a high likelihood that they will be successful in the new project.