The crowdfunding market’s success continues to exceed expectations. Thanks to its immense power and success, individuals, regardless of their cause, can solicit lump sums from a large pool of individuals across the web. Nowadays, most people who want to raise funds and highlight their innovative idea/product globally opt for crowdfunding as the primary source of financing, and it’s not complex to gather why.
Also, entrepreneurs who want access to funds to propel their growing venture to scalable heights turn to crowdfund in lieu of traditional funding sources such as banks. It gets better for individuals who aren’t business-minded or project-minded. Thanks to charitable crowdfunding, it’s possible and feasible for non-profit organizations and individuals to raise funds for charitable causes and personal reasons.
In sum, the crowdfunding market has expanded its reach to almost all imaginable sectors. For instance, Real estate development is just a relatively new option to enter the crowdfunding domain we have shed many insights upon. What’s more, black-owned and minority businesses can also leverage crowdfunding’s immense power owing to the recently launched platforms supporting black-owned businesses.
This post will glean insights on the websites that focus on black-owned businesses.
Crowdfunding Platforms For Black Businesses
There is no doubt setting up a successful business isn’t a forte many people excel at. Unfortunately, it gets worse if the company is black-owned. The obstacles can be pretty overwhelming to the extent many black people give up or never attain optimal success. A significant impediment holding back black-owned businesses is access to financial capital.
For instance, far-fetched as it might appear, black-owned businesses are less likely to receive financing than white-owned entities. Nonetheless, the world and the internet are unfolding drastically. Individuals of different races and other minority groups can crowdfund much more viably thanks to crowdfunding platforms designed to support black-owned ventures and projects.
FundBlackFounders is a reward-based crowdfunding platform that empowers black inventors and entrepreneurs to raise capital to propel their startups and project to scalable heights.
Launched in February 2019, FundBlackFounders has risen through the ranks and has garnered more than 8000 monthly web visitors. In brief, users can invest in promising and innovative projects to support the socially conscious black community. In return, they benefit from the rewards designed by the campaign founders. Additionally, startup owners benefit from the free coaching, webinars, and business acumen to propel their growing ventures to optimal success.
As per most crowdfunding websites, campaigners are liable to a five percent platform fee. FundBlackFounders is ideal for black individuals struggling to get their venture off the ground to solicit funds and business acumen from a vast pool of successful black investors.
Michael Koger-Smith recently founded Blaqseed intending to help black business owners raise funds. Blaqseed is a user-friendly platform that enables individuals to contribute to projects through crowdfunding. In addition, Blaqseed donates a percentage of profits earned to companies that aid in community development.
Michael claims that the idea of Blaqseed came about as he was searching for African American causes and projects he could fund on some of the prevalent crowdfunding sites. To his surprise, it turned out to be a mundane task, going through project after project he wasn’t interested in. As a result, he designed a website that could support individuals of his race.
Blaqseed is a crowdfunding platform that caters to the fundraising needs of various projects such as startups, existing entities, and even personal reasons or charitable causes. It supports all projects imaginable, including art, fashion, film, gaming, music, and book publishing. What’s more, campaigners can share their causes through social media networks, websites, and email.
The 10k Project
By paying a one-time $100, individuals can become members of the 10k project, a community where black investors fund black businesses. The 10k project is an equity crowdfunding website that allows minor investors to invest in innovative companies that have a competitive advantage in the market. Moreover, members have access to financial education webinars, wealth-building educational resources, community forums, and the opportunity to grow networks and learn from a vast pool of successful black people.
The 10k project is an ideal platform for black-owned businesses sourcing funds to pitch their business, regardless of their industry (real estate, beauty, entertainment, health, food, etc.) in a virtual setting. Subsequently, the entrepreneurs offer shares in their firm in the form of equity or debt in exchange for investment.
Rise Fund N’Go
Inspired by the Black Lives Matter crusade, two sisters and second-generation Nigerian immigrants launched a crowdfunding platform to support black businesses and projects, consequently empowering black communities across the United Kingdom by helping them secure funding. Rise Fund N’Go is a crowdfunding website for African Caribbean commercial and philanthropic businesses. To be eligible to launch a campaign on the platform, businesses ought to be majority black-owned. Moreover, the utmost priority of the Rise Fund N’Go is to pinpoint exceptional black companies and projects and assist them in acquiring necessary funding.
The website is somewhat similar to GoFundMe. As such, it allows for commercial and charitable causes. Backers pledge to help a business/project achieve its goal, and in return, the campaigners contribute something valuable to the community. For instance, for every $100 donated, campaigners have to promote any program in African countries. Most importantly, the funded business/project has to update its backers on emerging details and feats constantly.
Listed above are some of the most potent crowdfunding platforms for black businesses. Don’t get it wrong. It’s still possible and viable for black individuals and other minority groups to raise money through the prevalent crowdfunding platforms such as Kickstarter and Indiegogo. This masterpiece just highlights and celebrates the websites specifically designed to empower black business owners. Nonetheless, one should adequately plan and prepare before launching a crowdfunding campaign on any platform.