Crowdfunding Moving To MLM

Crowdfunding in MLM is new collaboration of  two of the network business strategies  the Multi Level Marketing and Crowd Funding. Crowd Funding is act of funding an existing project or starting a new venture by raising financial contributions from a group of people via various methods including online and offline using the internet and social media platforms. The main goal of crowd funding with MLM is that it can attract a good no.of positively  interested individuals to the MLM Business without investing a large amount of money.

Crowd Funding in MLM is mainly focused on pre-launching MLM Companies. A new company  looks to spread it’s interest through crowdfunding communities.New MLM Pre-launch companies are launching with an crowdfunding portal for active participation of the public. And this in turn comprises two major emerging industry crowdfunding and  Multi Level marketing. The interesting part about crowdfunding is that even the smallest contributors can also have a crowdfunding web page.

Today’s world  famous companies are established using the same method as well while some of them are try to follow various direct models such as Amway.

How It Works ?

Crowd funding has three  phases Project Plan Project Launching and Fund raising.

Project Plan

In this phase a basic plan for the project is prepared , basic project plan , project aim and estimated cost are determined in this phase. Most of the crowd funding projects are based on charity. Since charity has better chance to drive more effective funds.

Project Launching

This phase the planned project is launched to the public requesting funds. This phase includes the promotion of the project in online and offline.


This is the main phase of a fund raising organization. Here the required fund are raising from a community people or say public individuals.

Crowdfunding With MLM

As the new trend two of most popular business structures are combing. In the crowdfunding combined with mlm business.  Crowdfunding is more involved in new member registering side or down line development.

In a crowd fund mlm system, unlike from  mlm plans system,here a new member or a down line member is added or introduced through crowdfunding forums. In this system literally a new member  is not added he or she become a part of a crowdfunding project with his share to the project, commonly there is no specific starting fee for a crowdfunding project, but sometimes there may charge 3-5% of the fund. usually the project managing company raise the fund from the public and thereby reaching the project to more and more people thereby increasing the chance of success.

A success behind a crowdfunding system lies on the project genre. Usually the crowdfunding projects are involved with some charity programs which will generates social awareness. The advantage which such projects is that it will get promoted without any promotional tools, and more public people will be interested to be a part of this charity program which will make the project bigger and thereby good profit.

Crowdfunding with mlm will make the MLM business more simple and popular. Because of the simple to plan and easy participating features will inspire more people and the chance to be part of an charity program can also be an interesting fact to join.

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