Blog Post

Crowdfunding in Challenging Times

As the world battles the ongoing COVID-19 pandemic, many of us are having to adapt to the new realities it brings, from staying at home to changing the way we work or do business with each other.

Challenging times such as these, with so many changes and yet more unknowns, normally lead to people from all walks of life experiencing uncertainty and high levels of worry.

Thankfully, this is where crowdfunding can step in. As the name suggests, crowdfunding involves a crowd, or target audience, contributing to the success of a new venture, project or cause. By definition, crowdfunding is all about community. And what better time to strengthen the bonds of community than during periods of universal uncertainty such as these?

Here’s some ideas on how to reach out to, and reassure, your campaign’s supporters and friends during challenging times – and why crowdfunding can help your business stay afloat in the meantime.

Crowdfunding as a Fundraising Initiative

With social distancing being practiced the world over, the physical fundraising events of the past have become impossible. Now that most people communicate with others digitally, it makes sense then, to move these fundraising initiatives online – to crowdfunding.

A digital fundraising campaign also sidesteps most of the need for budget and resources associated with physical events, offering an online home for your cause where you can stay in contact with your followers and supply them with regular updates, while linking to all other relevant digital platforms. What’s more, anyone who has invested already will still be able to back your cause regardless of where they, or you, are.

Crowdfunding to Support Small Businesses

Many small businesses are feeling the financial pinch during the current crisis, but crowdfunding may be able to help them find some short-term funds that could make all the difference to their survival.

By turning to their loyal patrons – as well as to the wider community – via crowdfunding, a business can garner some vital cashflow through offering products or services for future use, as well as gift cards or special offers. There is also the possibility that backers or larger businesses who are more financially stable may also be able to help a local business in need.

Community Crowdfunding to Raise Awareness

Crowdfunding campaigns can offer any cause or project the whole package: you can build, showcase, pitch and present your idea all in one centralised place, while digitally helping you access a far wider audience.

This increased reach offered by crowdfunding has long made it a popular choice when fundraising for a cause, since it raises both funds and awareness, while giving back to the community. Crowdfunding demonstrates that if enough people each carry out a small deed, then this has the capacity to make a significant impact.

Crowdfunding for Crisis Situations

While most corporations are channelling their CSR efforts into battling the COVID-19 pandemic and supporting the local communities for the duration, crowdfunding offers the ideal platform to mobilise this support and deliver it to those who really need it.

Through crowdfunding, corporate CSR efforts are boosted by public donations and collaborations with relevant charitable organisations or NGOs, whose important work is also sustained.

During times of crisis such as these, which affect the lives of almost every human on the planet as the COVID-19 pandemic now does, humanity’s success lies in our ability to rally together as a strong community. For potential backers of crowdfunding campaigns, this is especially applicable: by taking a moment to show your support, you are part of a global community that needs your help now more than ever.