Crowd funding is one of the most popular ways for people to get the money they need for projects. But can crowd funding be effective for charities looking for ongoing budgetary needs? Ronn Torossian, President of the Ronn Torossian Foundation, says yes. He offers 3 facts to support this premise.
Crowd Funding is becoming Mainstream
Instead of doing pledge drives, the option of crowd funding has become more viable for continual budgetary needs, because the very concept of internet based crowd funding campaigns has become more mainstream. As more and more projects have become successful using crowd funding, the concept itself has become more accepted and understood. As more people become more attenuated to the idea, more people will be willing to give in this manner. While pledge drives essentially beg for money, the crowd funding concept makes donors part of the day to day success of the cause on a foundational level.
Many Hands Make Light Work
The idea of crowd funding opens up opportunities for demographics not traditionally known for their charitable giving. Because, by and large, young people are enthusiastic about crowd funding, the process opens up a largely untapped donor market of young people open to crowd funding and willing to give.
Crowd Funding Systems are Already in Place
One of the most beneficial reasons for charities to look at crowd funding is that the apparatus for the receipt and distribution of funds are already in place. Charities do not have to manage donations or implement any processes for cataloging or sharing information. It’s all right there, at the click of a button. This saves time and resources, particularly for cash-strapped small non profits.
Taken together, these reasons should motivate all non profits to look at crowd funding resources for their day to day operations.