Is Perseverance Ever Needed? Let’s say you’re healthy, have a…
One thing that has absolutely changed from 20 to 30 years ago, is access to credit. Easy credit encourages and even enables entrepreneurs to take chances. Getting funding from banks has and always will be impossible, because banks aren’t about profit, they’re about risk management.
Banks have it easy. They can literally print money. Canadian banks make from 2 to 10 billion $ in profit every year, each. They don’t need us as long as the Fed gives them a free ride. And with banks having that kind of power, they can invade or selectively invest in business sectors such as wireless services, life insurance, car insurance and make life tough for underfunded companies competing there. That’s not fair.
I don’t like banks. Fortunately, something called crowdfunding has appeared and promises to fund a lot of startups who would never get off the ground such as artists, restaurants, software developers, tourism companies, and other risky ventures. Crowdfunding is growing in reach and might. Crowdfunders are the most eager to connect and engage on Twitter, and that foretells much about a company’s future.
Crowdfunders are targeting Gen Y as Potential Investors Too
Gen Y’s won’t just be accessing startup capital, they will be investors also. This burgeoning growth outside the traditional financial structure sets the stage for a revolution in business.
Emerging projects must engage with this generation in order to expand financially and socially. Since younger individuals are seen as tech- and social-savvy, crowdfunders need to penetrate these networks and evoke an emotional response. To do so, projects should appeal directly to the values of this demographic. The more specific and transparent the cause, the easier this will be. Millennials want to know where their money goes so that they can watch their funds make a difference. In other words, projects need to show a change in their narrative from beginning to end for Millennials to share these stories on their own networks. From Crowdfunders.com Crowdfunding with the Millennials
This is a key factor for Generation Y entrepreneurs whose dream might not be ended by stingy bankers. In an era where entrepreneurialism has to happen, we’re going to see many new success stories. Hope yours is one of them.
Learn more about crowdfunding at Forbes.com.Joy SchofflerCrowdfunding