It takes money, a lot of money to transform an idea into something that resembles a business. As many as 49% of Americans say they would like to run their own business and this number is growing rapidly.
At one time or another, we have all had what we think would be a great idea that could change the world or at least translate into a good business. But alas the responsibilities of the real world come back into focus and we are forced to push such thoughts from our psyche. So why don’t more people take the plunge and turn their ideas into something more than a topic of conversation at cocktail parties? Lack of capital or knowledge of where to find investors is listed as the number one reason people do not pursue their ideas. And who can blame them? Venture Capitalist, Angel Investors, friends and family, it’s a tough road to navigate and very few people that try actually succeed.
However, that’s all starting to change with the introduction and growing popularity of Crowdfunding web sites like Kickstarter, Indegogo, Funder’s Club and probably a dozen others. So what exactly is Crowdfunding? In a nutshell: these are websites that allow people with great ideas to pitch them to the public at large and see what they think. If the people who look at your idea also think it is a great idea, they agree to either donate to your cause and or purchase your product and idea in advance. Allowing you to use the capital you raise to help, dare we say “Kickstart” your dream. Last year alone, over 22,252 people raised money for their ideas on Kickstarter. And cumulatively crowding funding raised over $16.2 billion in funds in 2014 for companies around the world. That number is on pace to double to $34.4 billion by the end of 2015!
We all know that the Fitness industry is full of great people with great ideas, and ideas that could change people’s lives. But is crowdfunding the way to go? We wanted to know, so we caught up with long time fitness industry veteran and entrepreneur Greg Nigro, whose company Vicore Fitness recently decided to launch one their new products using this platform.
Muscle & Fitness: So why crowdfund?
Greg Nigro: We decided to launch a Kickstarter Campaign for our product The Terra Core for several reasons. Crowdfunding cuts out bank and venture capitalists which allows us to run things on our terms. It provides us the opportunity to connect with the biggest global funding resource ever conceived. Crowdfunding reduces risk and gives our company the possibility to engage with our believers before the product even launches. It’s great exposure; it provides great feedback from literally thousands of people who are interested in what we are doing. Where else can you get such insights and possibly capital as well all in one place? It is like a giant focus group with checkbooks. However, that does not mean it is easy.
By nature people do not go out and seek out new ideas and concepts that will transform their lives, because for most part they are unaware that they needed something new in the first place. Therefore it is totally up to the entrepreneur make sure their product gets in front of the right people. This is your greatest challenge. In crowdfunding it all starts with your network. You know; college roommates, friends, ex girlfriends etc. That is the foundation of where it all starts. By reaching out to your tribe and telling them why your idea is great and why they should help you spread the word. So it stands to reason the larger your network the better your odds of success when it comes to a campaign.
M&F: Why are many in the fitness industry turning to this revenue generating approach?
GN: The fitness industry does a tremendous job in connecting, following, and supporting each other, which is one of the main reasons why we think crowdfunding and fitness work so well together.
So now that we have your juices flowing, go dust off that old notebook with all you double secret world changing ideas. Still not sure what to do next? Greg and other experts suggest; that you start by going to one of the many crowdfunging sites and see what others are doing. What is working and what is not? Better yet what resonates with you? There are also a ton of books available on the subject that can get you going in the right direction. However, as with most things it comes down to simply committing yourself to learning what needs to be done to accomplish your goal and getting started.
And what about Greg’s company Vicore Fitness and their new product launch on Kickstarter called The Terra Core? Well, things are looking good and they are trending to exceed their goal, which will provide the funding they need. The campaign still has a little time left and it’s not over till the fat lady sings (ok the lean beautiful buff lady) this is the fitness business after all. Check out Greg’s campaign by clicking here.
