Larger numbers of people in India are opting for crowdfunding to meet their financial needs, particularly in healthcare, but also in the social sector, with more and more nonprofits beginning to crowdfund on a per project basis. Some Indian creative artists are also intelligently leveraging the power of the crowd to give physical shape to their artistic aspirations.
But by and large, the great Indian middle class remains ignorant about crowdfunding India and its vast range of benefits. They find out only by accident, if a friend, relative, doctor, well-wisher, newspaper or magazine article, social media post, advertisement, poster or some other such collateral material informs them about what crowdfunding is. Even then, the idea that forms itself in the heads of these potential users of crowdfunding India is hazy and vague.
Much of the gaps in understanding that India’s people have about crowdfunding has to do with the newness, but it also has to do with the jargon heavy language that surrounds the whole conversation around crowdfunding India. This article breaks down the obscure words commonly used in the crowdfunding sector and gives simple meanings to avoid intimidating the first-time user.
Crowdfunding: Crowdfunding is when you raise funds online from a large group of donors, who typically give a small amount each, to meet your large goal amount. You find donors through social media sharing.
Fundraiser: Your fundraiser, your campaign, or your fundraiser page (sometimes also called your microsite) is a web page where you will tell your story, upload photos and videos relevant to your project, and get to track the funds you have raised.
Campaigner: A campaigner is the person raising funds
Donor: The people who give money to your cause from goodwill and empathy
Beneficiary: The beneficiary can be a person or an organization. It is “who” the funds are being raised for, the entity who will benefit from the funds raised.
Fund utilization plan: This is where you break down what you will do with funds you are collecting from your donors. For medical fundraisers this could simply be a letter from a doctor on their letterhead, stating what procedures the patient needs. For NGOs, more elaborate paperwork may be needed.
When you are starting on a project with crowdfunding India, don’t let the unfamiliar words and phrases bother you and distract you from the task at hand you have. Look things up, ask for help! Know that you can make a difference.