Indiegogo helps raise money, and dabbles in incubation #makerbusiness
VentureBeat ran a story about the huge amount of capital flowing into Chinese businesses through Indiegogo.
According to Indiegogo, over 3,500 China-based innovators have raised more than $150 million since 2016. Thirty-five products have raised more than $1 million, and a number of startups based in China have launched more than one crowdfunding campaign on the platform.
These numbers are impressive, but quantity isn’t the only peculiar thing about this story — Indiegogo is starting to adopt practices of an incubator or VC.
In late 2017, in an effort to help small teams scale up quickly, Indiegogo launched Concierge, a program that provides staff assistance to crowdfunding projects that have raised $500,000 or more. Much like Kickstarter’s Hardware Studio, it connects budding companies with Indiegogo partners such as Arrow Electronics and Ingram Micro.
Indiegogo and Kickstarter don’t have residual ownership of their projects, yet they are still offering services like Concierge, or connecting them to their established corporate networks. Part of this is surely for optics, a successful long-lasting company is way better than a short lived one, but companies are more likely to use the service rather than other bootstrapped options if they think they can get business advice or connections.
Crowdsourced ventures are as famous for their colossal dollar investments as they are for their titanic failures, but this is also true of venture backed companies and projects, so they can be a little unfairly maligned. With a little help and assistance, it’s likely that, at least on the margin, a few more crowdsourcing entrepreneurs will be able to make it through the early stages of their business.
These services only started in 2017, but as these teams at Indiegogo get more experience, knowledge, and expand the network of companies they work with, this could become an increasingly attractive option for new or even adolescent businesses.
Adafruit publishes a wide range of writing and video content, including interviews and reporting on the maker market and the wider technology world. Our standards page is intended as a guide to best practices that Adafruit uses, as well as an outline of the ethical standards Adafruit aspires to. While Adafruit is not an independent journalistic institution, Adafruit strives to be a fair, informative, and positive voice within the community – check it out here: adafruit.com/editorialstandards
Stop breadboarding and soldering – start making immediately! Adafruit’s Circuit Playground is jam-packed with LEDs, sensors, buttons, alligator clip pads and more. Build projects with Circuit Playground in a few minutes with the drag-and-drop MakeCode programming site, learn computer science using the CS Discoveries class on code.org, jump into CircuitPython to learn Python and hardware together, TinyGO, or even use the Arduino IDE. Circuit Playground Express is the newest and best Circuit Playground board, with support for CircuitPython, MakeCode, and Arduino. It has a powerful processor, 10 NeoPixels, mini speaker, InfraRed receive and transmit, two buttons, a switch, 14 alligator clip pads, and lots of sensors: capacitive touch, IR proximity, temperature, light, motion and sound. A whole wide world of electronics and coding is waiting for you, and it fits in the palm of your hand.
Have an amazing project to share? The Electronics Show and Tell is every Wednesday at 7pm ET! To join, head over to YouTube and check out the show’s live chat – we’ll post the link there.