Question# 1

Part 1: Review the project.

Bellcycles: A New Kind of Bicycle
Front wheel drive, hands by your side, compact bicycle that comes as a kit you
assemble yourself. A DIY challenge that is too much fun.
Part 2: What is the project?
Bellcycle is unique style of a bicycle, which brings fondness for the user. It is ‘Do It Yourself’ (DIY),
which enables the users to self-construct the bike. The gears of the bike are situated on the front wheel,
hence introducing the ‘criss cross’ mechanism in the cycle. Furthermore, bellcycle has allowed rider’s
hands to be free while in normal bicycle are they bent forward. Moreover, bellcycle has features of
carrier; it can be modified as a carriage.

Part 3: Review the offerings and the number of backers.

Part 4: Which two pledge levels ($1 through $1,000) have the highest
number of backers
The pledge with a price tag of US$ 349 has the highest number of backers, with 30
backers.
 The pledge with a price tag of US$ 30 has the second highest number of backers,
with 6 backers.

Part 5: Which pledge levels are sold out, if any?

The early bird special bell-cycle standard is the most popular of all which has been
sold out with price tag of US$ 249
 .

Part 6: Do the answers to these questions suggest that backers are

actually customers making purchases (pre-sales) rather than donors
making selfless contributions?

According to the answers given above it is very well credited that the backers are
customers rather than generous contributors as after the reward is made the
respective project’s product is shipped to their addresses. It can also be said that
these customers are the very first buyers of the product.
Question# 2
Crowdfunding is the act of financing a task by collecting numerous little measures
of cash from array number of individuals, normally by means of the Internet.
Crowdfunding has a number of advantages:
 The first and foremost advantage of crowdfunding is that it is the easy and
cheap way of raising funds for your project.
 Finding customers initially can be tough for a new business. However, if
you’ve raised funds through crowdfunding, you effectively have a large
group of people backing your offering. As a result, many of your investors
do not just become your customers, but they also become an extension of
your sales force as they promote your business.
 It is a good way to test the public’s reaction to your product/idea - if people
are keen to invest it is a good sign that your idea could work well in the
market.
 Crowdfunding builds you a team of loyal customers. They are part of your
success; they’re not going to ditch you for the next flashy competitor who
comes along. These guys are going to be the first ones to buy your latest
product and respond to your surveys.

Question# 3
The main difference between eBay and Kickstarter is that, on Kickstarter we
innovate new products even before they are released in the market/shops. Whereas
eBay does not consist of new innovative projects which require funding to be
released in the market, it only consists of already released products which are up
for resale or sold as new products.
eBay is mainly popular for reselling used products, like OLX in Pakistan. Whereas
the Kickstarter is a great platform for entrepreneurs for launching and funding their
new projects/ideas.
Kickstarter also provides a floor for analyzing whether their new product would be
successful or not. On eBay this is not the case, you sell products which are already
available in the market, which do not need any funding or customer feedback.

Question# 4

 Project creators with new opportunities for seeking funds from people
throughout the world, which results in social interactions.
 Kickstarter attracts a higher number of pledges due to its project quality
focus.
 Kickstarter is strong in technology, games and the design community.
 Kickstarter has 15 project categories: Art, Comics, Crafts, Dance, Design,
Fashion, Film & Video, Food, Games, Journalism, Music, Photography,
Publishing, Technology, and Theater.
 Kickstarter provides better platforms relative to the others for several
reasons: lower failure rates, more active communities, greater familiarity,
and more straightforward payment options.
 Kick starter provides high quality projects.

Question # 5
 Kickstarter: 
A platform that focuses on creative projects like art, music, film, etc.
Funding is all or nothing and fees are reasonable.
 GoFundMe:
 A crowd funding platform designed for individuals and personal causes. No
all or nothing requirement and reasonable fees
 Indiegogo:
 A unique platform that accommodates many diverse campaigns. No all or
nothing requirement, but fees can be higher.
Kickstarter is a crowd funding platform that’s heavily focused on catering to creative
projects like art, music, film, technology, etc. The site boasts higher pledges to date
than every other major crowd funding platform combined. While it’s hard to argue with
that kind of success, only about 65% of projects on Kickstarter get fully funded within
the campaign timeline. Funding on Kickstarter is all or nothing. That means if you
don’t reach your funding goal within the designated timeline, you won’t receive any of
the funds that were pledged to your project. Kickstarter views this as a benefit –
oftentimes backers still expect full results on a project even if it is not fully funded.
GoFundMe’s crowd funding platform is super welcoming to individuals and personal
causes. Campaigns to fund life events like education, medical treatment, and sports
teams are prevalent on the site. The platform itself doesn’t have the independent
community that some other crowd funding sites have, but campaigns are extremely
shareable, which can make up for the lack of community. Funding on GoFundMe is not
all or nothing. That means you keep whatever money you raise regardless of whether or
not you reach your designated funding goal. Unlike some other crowdfunding sites, fees
are the same whether you are fully or partially funded. Keep in mind that this may lead
to donors expecting 100% results even if you get less than 100% funded.

Indiegogo is a crowdfunding platform that doesn’t specialize in any type of campaign.

All kinds of projects are accepted for fundraising on the site. That means the regulations
about who’s on the site are very lax, which can be good or it can mean lots of
competition for the attention of donors. Campaigns on Indiegogo have a lower average
funds raised than some other crowdfunding sites, but its diverse base is a huge plus.
ndiegogo is unique in that you, the campaign owner, can choose whether or not to go
with all or nothing funding. With two plans (Flexible and Fixed), users can decide how
this works.
Kickstarter GO fund MeIndiegogo

YES OR NO Yes Yes & No No

 Free to create and  No set-up fees

 5% fee from share campaign  5% overall
funding total if  5% fee from each platform fee
campaign is successful donation  3% plus 30¢ per
 3-5%  3% processing fee credit card transaction
COSTS
processing free from from each donation (USA &  3-5% for PayPal
each pledge Canada) transactions

Creative projects like Personal causes and life-events Campaigns across a wide
art, music, film, (e.g. education, medical variety of industries with
BEST FOR technology, etc. treatment, sports teams, etc.) lower funding goals

Review:
 An artist, writer, designer, or performer, Kickstarter is a great option to crowdfund
your project., Kickstarter is also a huge platform for your campaign and carries a high
likelihood of success. If you’re confident in your pitch and believe your creative project
will speak to people, Kickstarter may be for you.

 Pledges to date are  No deadlines or goal Flexibility for

more than every other limits tax-deductible funds
crowdfunding site combined  5-minute support  Data driven
 Backers on the site guarantee insights help you run the
are looking for creative  Optimized for most effective campaign
projects sharing  More liberal
 Offer resources to  Personal causes are project regulations
help you build the best project encouraged 
Question #06

Group financing could be seen as a Technology, that weakens the Financing

Industry:
Group A
 Crowd subsidizing locales weakens the financing business exceptionally the
saving money part, as the accessibility of assets on such destinations makes
less individuals to decide on advances from the banks. Thus, the diminished
interest for advances prompts lesser cash creation.
 It advances interest in ventures with unanticipated outcomes as opposed to
better speculation designs offered by the financing business.
 It limits the speculator's contribution in the venture he puts resources into, as
the financial specialists support arrives at an end once the assets have been
exchanged.
Then again as so remarkable, that it has made a New Industry:
Group B
 Most ponders demonstrate that over 80% of tasks have been completely
subsidized through group financing, which brought about progress for new
business wanders far and wide. In this way with such high achievement rate
Crowd financing stages not just opens up another market for internet raising
support yet additionally energizes and empowers business wander at little
and substantial scale.
 And as swarm financing has developed in ubiquity, a whole industry of
administrations has jumped up around it. Group financing experts, online
networking directors and advertisers all now offer their administrations to
business visionaries who need to run swarm-subsidizing efforts.
 In this age of the computerized rule, numerous customers will quit perusing
your battle on the off chance that they don't associate with the video, so this
is extremely the entryway for videographer.