The circumstances and the sudden changes in the economy usually cause the fall of businesses and companies. As well as debts, organizational problems and poor management. There are many businesses that go bankrupt because of these reasons. But today we come to tell you how you can rescue your business with crowdfunding.

Rescue your business with crowdfunding in 5 steps

Nowadays, due to different contingencies, several small businesses have found themselves in economic problems. These tend to be so strong that they force them to find a solution or shut down on the spot. What few of these businesses know, is that there’s an alternative: crowdfunding. Now, this is how you can use it to save your business in 5 steps:

1. If the ship is sinking, look for a life raft

This means that before starting to prepare a crowdfunding campaign, you must take the necessary measures to be able to act freely. This could include closing your business for a certain period of time or reducing staff or work hours. So that you can spend time preparing your campaign without worrying about your business (for the moment).

Taking hard decisions business
Prepare to make difficult decisions. You may have to do it to leave enough time to invest in your crowdfunding campaign without losing your business. But always make sure to do it wisely.

2. Start preparing your crowdfunding campaign

Once you have free time to invest in your campaign, go for it. Make an analysis of the problem and a budget of the exact money you need to save your business. What you must also do is build a community of people who can help you along the way. This usually takes 1 to 2 months, but what happens when there’s no time?

team crowdfunding campaign
Perform a meeting with the most important members of your company to analyze the details. And then prepare what’ll be the crowdfunding campaign. Working as a team never hurts.

3. Your customers are vital and the key to your success

You must be aware and use your customer base to help you. If you have 1 month or less time to create a community, they’ll be your main weapon. Start using all the media you have available (social networks, marketing, etc.) to create a solid community of customers who’ll be the first to contribute to your campaign once it is launched.

create marketing plan for crowdfunding campaign
If you have enough time to do it, create a marketing plan for your crowdfunding campaign. Remember that it should be focused on your customers and potential contributors.

4. Reach out, look for people, be humble and don’t work alone

Your customers are valuable allies, but they’re not the only ones you can turn to. Your family and your friends can also lend you a hand if you know how to approach them. Take into account that making a campaign alone is difficult. Create a team (if possible) to which you can delegate tasks such as searching for key people or entities that are of benefit to the campaign.

networking crowdfunding campaign
Contact influencers, bloggers and people who can write about your campaign. Apply networking and use your most valuable contacts through key relationships and strategic alliances.

5. Launch your campaign once you have gained momentum

Creating a community of people with time will allow you to secure contributions at the beginning of your campaign. Your main objective should be that, through this, you can collect 40% of your goal in the first 2 or 3 days of your campaign. As we have said in past entries, this creates a “domino effect” and motivates people to contribute as they see all the money you’re raising.

raise money crowdfunding campaign
To raise the money to save your company will require you to find support in your clients and people who collaborate with you. Never rush the launch of your crowdfunding campaign if you haven’t created a community in advance.

Remember: your campaign’s presentation is important. This includes having a compelling presentation video, an attractive rewards system and a clear and direct message. The key moments of most fund-raising in a campaign are the beginning and the end. Exploit these tips to their highest potential so that you can raise your goal (or more) and save your business.

Thank you very much for reading this entry, if you liked it, we invite you to share it on your social networks! That way you’ll allow other people to learn how to save their business and allow us to create more useful content.

Related: Learn How To Use Crowdfunding To Help Your Community

Be strong and use crowdfunding to save your business!