Avoiding Crowdfunding Scams-Some Suggestions
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.
Between the funding of a project and the delivery of the results, there are numerous things which could go wrong. The one creating the project might have miscalculated the time they require to complete the project. Issues in manufacturing might result in long delays while some project might not succeed as their owners might receive a lot of funding which they do not manage well. Other times, things go wrong in spite of the best efforts of the creator of the project. Therefore, there is always some risk involved when crowdfunding a project. Nonetheless, below we give some suggestions which can aid you in choosing better the crowdfunding projects to support.
A few ideas are much easier to put into effect 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. Search for real pictures of the actual product. You have to be careful in case all you see are rendering of the product. In case you observe that the project is complicates, it is likely to fail. Nonetheless, this must not be only thing you employ to assess how valid a project is since several of the complex crowdfunding projects are the most exciting ones.
Researching the projects’ creators is another tip. If you will be giving someone your hard-earned money, you should find out more about them. 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. If an individual lacks transparency, it says a lot about them. It is difficult for the creator to be accountable in case they remain anonymous. On the flip side, in case the creator of the project reveals their personal information online, it shows their assurance and that they are ready to risk their reputation.
After analyzing their details, you should then learn more about their past achievements. This will assist in knowing if the creator can finish the project on time. The likelihood is high that they will succeed on a new project in case they have developed or manufactured something in the past.