

How many of you tried kickstarter for raising money - RuchitGarg

Did you find it useful? Did your attorney freaked out? Raised money for your tech project?
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MaysonL
While I haven't used it, a good friend of mine has used it successfully twice,
once to help send a play [i.e. the actors, and musicians] she wrote to
Edinburgh for the Fringe Festival, and again to send another play to New York
from LA.

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RuchitGarg
That is what my concern is. Is that good for things like doing a theater/play
and for some legal issue does not work well for tech startups who envision it
to be a high growth company and have C/S corp incorporated.

I know there are certain limitation on how many private investors a C-corp can
have. Would these people putting in money via kickstarter be called as
investors?

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vitovito
Legally and technically, they're not investors.

Kickstarter cuts you a check via Amazon. You don't have any contact with the
donators except as mediated via Kickstarter. There's not even a requirement
that you fulfill your promised obligations to your backers (although they'd
probably never let you use them again).

People are literally giving you money out of goodwill.

That said, Kickstarter is a terrible platform if you don't already have a
social network into which you can cast a wide enough net. It works best as the
way you enable all the friends you already have and who are already willing to
give you money, to do so.

It doesn't have a huge pile of people who are just looking to spend money on
hairbrained startups with no return. That active curation, cutting out
projects like that, is why it's succeeding.

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DyumanBhatt
This. Kickstarter is generating revenue in exchange for goods and services
you're providing. It is not investment. I believe this is described in the
Kickstarter FAQ.

I however disagree that it isn't worth doing if you aren't already popular.
You can use it as a place to become more popular than you already are, or use
it as a means to show some traction even if you only raise $10,000.

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dholowiski
Sadly, I live in Canada, so no Kickstarter for me.

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jamesflorentino
Ditto. I don't live in the US too. I've been eyeing to crowdfund a personal
project in indiegogo instead. But haven't really looked into how the process
goes.

