What Is Crowdfunding? A Beginner’s Guide to Raising Funds Online

What Is Crowdfunding?
Crowdfunding is a method of raising money for a project, cause, or business by collecting small contributions from a large number of people, typically via an online platform like Mfadhili. It's a modern solution for individuals, organizations, and businesses to gather support for their ideas or address pressing needs.
How Crowdfunding Works

1. Create a Campaign: The fundraiser provides details about their cause, sets a funding goal, and uploads supporting information like photos, videos, or testimonials.
2. Share Your Campaign: The campaign is shared across social media platforms, email, and other networks to attract donors.
3. Receive Donations: Contributors make secure payments through options like Mpesa, Paystack, or Stripe.
4. Withdraw Funds: Once the campaign reaches its goal, the organizer can withdraw funds to address the stated purpose.

Benefits of Crowdfunding

1. For Individuals
   • Easy access to funds for emergencies like medical expenses, education fees, or personal projects.
   • Connect with a global audience for broader support.
2. For Businesses
   • Raise capital to launch new products or services.
   • Test the market and gain valuable feedback from potential customers.
3. For Communities
   • Fund collective goals like building schools, hospitals, or supporting disaster relief efforts.
   • Empower grassroots movements and social causes.

Crowdfunding offers a transparent and accessible way to turn ideas into reality while fostering community support. Platforms like Mfadhili make this process seamless and secure, ensuring that every contribution counts.