Crowdfunding: Smart Business Strategy

Crowdfunding is a business strategy used by startups to fund their projects and for future development. A good example would be SAAS startup companies where they will develop a product that can make things much easier, let’s say sales or lead generation. They will build the core functions that can be used by its users, while it is still in beta process, they will be able to see issues that they can report to the developers for possible fixed. Majority they will be asked to share what’s coming next with their software, and even share their road-maps for upcoming features that will be released for their product.

Basically, you would like to showcase a product that has a great potential or use case so that users will support you in terms of subscribing to a monthly plan or most of the time they offer beta pricing such as lifetime deals for this amount of money. These users are the ones who will test and report for potential bugs, errors, and any problems that they will encounter while using the tool.

The most popular cloud-based apps online ones become a startup as well, although some companies don’t like this strategy as they are ready financially not just technical in terms of building their product, but for those developers who are skilled yet don’t have the funds to complete the project, they can rely on this kind of business strategy. Even I will support a product specially if these can make my workflow easier.

I have also seen startups with great potential in the market being bough by large companies, ten folds their investment because the buyer had seen a great potential with their product. Imagine when this startups became popular and start charging monthly subscriptions as they are mature enough, and for those early adopters who have purchased a lifetime deal feels very proud and happy with their decision to support the developers. Check out ProductHunt website for the list of the most trending and popular SAAS, software, and other tools for business use case.