Not only is crowdfunding a fantastic way to raise money to get your project off the ground, it also comes with a range of other benefits too! Here are six benefits of crowdfunding for your bakery.
Over the years, we’ve seen some incredible crowdfunding campaigns to start, expand, or adapt bakeries across the UK. As experts in the field, we know that crowdfunding campaigns come in all shapes and sizes and it doesn’t matter if you’re looking to raise £200 or £20,000!
So, we hear you ask, why crowdfund for your bakery?
1. It’s a low cost way of raising finance and you don’t need to give away any equity or pay the money back
Unlike traditional finance routes, such as taking out bank loans or finding investors, rewards-based crowdfunding is a creative, affordable, and quick way to raise the money you need to grow your bakery or get it off the ground! Plus, you don’t need to give away any shares or pay back the money once your project is up and running! You see, people support your project in return for a reward or just because they want to see you succeed.
One of our top tips is to ensure your rewards are enticing as this will encourage more people to pledge their money to your Crowdfunder!
2. It’s a great way to grow your network
Crowdfunding is a fantastic way to grow your community! Through your project, you can offer your products as rewards and create new, and hopefully lifelong, customers and friends. This means you can simultaneously develop a database for your project and raise money!
3. It builds a stronger connection with your community
Unlike other funding routes, crowdfunding means that your community actually becomes part of your journey. It’s a really unique connection that often leads to a lifelong relationship where your supporters become advocates for what you do. It’s this sense of community that really sets crowdfunding apart from loans and grants!
4. It’s a great way to spread awareness for what you’re doing
Crowdfunding can be a real driving force when it comes to awareness. Friends, family, networks, social media, press and PR can all be fantastic ways to build noise around what you’re doing and why you’re doing it.
When your crowdfunding campaign closes, you can keep the wave of awareness going by updating people on your journey.
We often see Crowdfunders get offers of help from the community, with supporters becoming staff members or volunteers once the project is up and running!
5. You can test and validate your idea, minimising risk
It’s no secret that there’s a lot of risk involved when starting a new bakery or creating a new product. What if the community doesn’t understand your mission? What happens if your new product doesn’t sell? What if, what, what if… By crowdfunding for your idea you can test it out before it’s officially launched.
You see, when the community gets behind you and supports your idea with their money, it provides clear validation that they love what you’re doing!
6. It’s fun!
Yes, it’s hard work and comes with its own set of challenges, but overall it’s a really rewarding way to raise money. You get to involve your community, see your project come to life, and build up excitement around what you’re doing. We might be biassed, but we really can’t think of anything better!
An extra bonus
When it comes to getting your idea off the ground, crowdfunding is a fantastic way to show investors or loan providers that people are interested in your business and product.
What are you waiting for? Start crowdfunding for your bakery today! You won’t regret it.