Aspiring Entrepreneurs Should Take Note: Insights from Kickstarter's CEO Everette Taylor on Launching a Successful Business Based on His Early Start
Kickstarter, a renowned reward-based crowdfunding platform, offers significant benefits for small business owners and creatives. By raising capital without giving up equity, founders can maintain full ownership and control over their businesses or projects, as demonstrated by Everette Taylor, the CEO of Kickstarter.
Taylor, who had an entrepreneurial spirit from a young age, selling candy for profit and founding a business called EZ Events at 19, emphasizes that crowdfunding isn't charity, but a way to deliver value into the world.
The platform's innovations come from gathering feedback from funders, customers, backers, and communities. This feedback loop allows entrepreneurs to test their ideas directly in the market, build a loyal customer community from early backers, and generate buzz and media attention to expand reach beyond traditional funding sources.
Key benefits of using Kickstarter include non-dilutive funding, access to capital without loans, building a customer base and community, marketing and exposure, and a diverse funding pool. Unlike equity crowdfunding, Kickstarter does not require giving away company shares, keeping founders in full control. Funds do not need to be repaid, avoiding debt and credit checks common with traditional loans. Backers are often early adopters who become customers and provide valuable feedback during development. Campaigns can generate widespread attention and attract media and consumer interest, enhancing brand visibility. Many small investors contribute, reducing dependence on a single financier and spreading risk.
Successful strategies for using Kickstarter effectively include creating attractive, tiered rewards, clearly communicating your vision and progress, leveraging social media and networks, protecting intellectual property early, and building a passionate community. Offering backers compelling incentives encourages higher support levels. Transparency builds trust and maintains backer engagement. Promoting the campaign widely helps reach potential backers globally. Swift patenting or trademarking helps safeguard unique inventions and concepts. Engaging with backers creates loyal customers who support future ventures and fend off competition.
Kickstarter has been used for a variety of projects, including film, theater, comics, games, fashion, tech products, and music. The platform's audience's input is essential for Taylor, as it helps him to constantly try to be a better person every day.
For small business owners with limited access to capital, Kickstarter can be a beneficial platform. Post-campaign tools on Kickstarter include installment payment options and pledge managers for shipping, taxes, and add-ons.
Taylor advises current and future entrepreneurs to start with what they have, find their niche, keep their ownership, know their value, stay curious and teachable, and lead with impact. He learned the importance of understanding his business's value when he discovered it was sold for more money after he sold it.
In conclusion, Kickstarter empowers creatives and small businesses to fundraise in a way that combines fundraising, marketing, and market validation, without sacrificing ownership or taking on debt. Taylor's journey from flipping candy and party planning to leading Kickstarter, a platform that has helped creators raise billions in funding, is a testament to the power of crowdfunding.
- Business owners and creatives can significantly benefit from Kickstarter, a renowned crowdfunding platform, as it offers a unique opportunity to raise capital without surrendering equity.
- Kickstarter's innovative strategies come from gathering feedback from various stakeholders, such as funders, customers, and backers, which helps test ideas in the market.
- Crowdfunding, as emphasized by Everette Taylor, CEO of Kickstarter, is not a form of charity but a method to deliver value to the world.
- Key benefits of using Kickstarter include non-dilutive funding, access to capital without loans, building a customer base and community, marketing and exposure, and a diverse funding pool.
- Unlike equity crowdfunding, Kickstarter does not require giving away company shares, keeping founders in full control.
- Funds raised on Kickstarter do not need to be repaid, avoiding debt and credit checks common with traditional loans.
- Backers on Kickstarter often become early adopters who provide valuable feedback during development.
- Successful strategies for using Kickstarter effectively include creating attractive, tiered rewards, clearly communicating your vision and progress, leveraging social media and networks, protecting intellectual property early, and building a passionate community.
- Many small investors contribute to Kickstarter campaigns, reducing dependence on a single financier and spreading risk.
- Offering backers compelling incentives encourages higher support levels and builds trust.
- Transparency builds trust and maintains backer engagement throughout the project.
- Promoting the campaign widely helps reach potential backers globally, enhancing brand visibility and generating media attention.
- Swift patenting or trademarking helps safeguard unique inventions and concepts on Kickstarter.
- Engaging with backers creates loyal customers who support future ventures and help fend off competition.
- Kickstarter has been used for various projects, including film, theater, comics, games, fashion, tech products, and music.
- Taylor advises current and future entrepreneurs to start with what they have, find their niche, keep their ownership, know their value, stay curious and teachable, and lead with impact, lessons he learned from his journey from flipping candy to leading Kickstarter.
