CrowdfundingLeave a Comment
Tal Givoly (XACCT, recently Chief Scientist at Amdocs) started a new blog. Just happened to stumble across his Crowdfunding post. Brief excerpt:
At 9:52am on November 25, 2010, I was sitting in my office and got a glimpse of a status update from one of my friends on Facebook. He had shared an article titled “iPod Nano Watchband Breaks Kickstarter Funding Records”. This caught my attention as it sounded like a cool idea and I didn’t hear of Kickstarter yet. As it turns out, this project managed to secure nearly $300,000 of funding within one week – but only from the crowd. No traditional sources investments such as angels or VCs were involved. I followed the link.
At 9:53am I learned what Kickstarter was and what the TikTok project was, in particular. I never thought of taking an iPod Nano and using it as wristwatch. Which itself was a cool idea. I learned of the concept of Kickstarter in which anybody can become a “backer” of a project by pledging various levels of funding to a project. At Kickstarter, there’s a minimum funding required that’s specified and all funds pledged are held in escrow until the minimum funding is reached. Once it is, the project is deemed funded and continues to attract backers for 21 days from its inception.
If you are interested to see whether you could fund your next startup with kickstarter, checkout the technology section.