Kickstarter Fulfillment Provides An Edge
Kickstarter and other crowdfunding platforms like it have changed the landscape of business development in ways unlike anything that has come before it. In the past, an entrepreneur had to develop an idea for a company, fully map out the exact expectations of the sales and the process, then take that plan to investment firms who would potentially provide capital with which to build the business. The only other way to achieve the necessary funding was a small business loan or to completely self fund. In many cases, neither one of these options was viable due to personal limitations on free cash. Even a small business loan will generally require a minimum of 20% of the owner’s personal wealth to be put into equipment purchases, or other tangible assets which could be seized if the loans are defaulted upon. Kickstarter changed all of this with crowdfunding, the option of many individuals worldwide to pool their assets into a company or an idea in order to provide the necessary capital. On Kickstarter, individuals can provide small sums of money to be invested into the development of a product or company, the payoff for this investment being a payback in the future, or the purchase of a product at a significantly discounted rate. In most cases of Kickstarter campaigns which are product driven, the company allows individuals to pre-purchase the product at a discounted rate, then pooling the cash from these pre-purchases to actually develop and create the product itself. If the threshold of interest is reached, the money transfers to the company who then produces the products to be shipped to the customers who invested.
Kickstarter provides the access to capital through the promise of delivery of the product that was described in the campaign, which allows many inventors and entrepreneurs to get their ideas to market. This does not fully develop businesses in most cases, but instead allows products themselves to be brought to the public. The business aspects of sales, marketing, employees, shipping, warehousing and all of the other complicated areas of running a business are actually an afterthought to the investors. They are simply buying a product, and are invested in the company no more than that. Due to the fact that the initial pressures of fulfilling orders are put before the actual working out of profitability, methodology, and ongoing sales, many entrepreneurs who engage in Kickstarter campaigns are actually ill equipped to be in business beyond the production of the single product. In a nutshell, they lack the infrastructure necessary to bring a company to life.
Kickstarter fulfillment companies like Ship My Orders offer a service that allows those who engage in Kickstarter campaigns to fully execute on their promises of initial sales as well as their transition into ongoing product sales. This is accomplished by the fulfillment company taking on the responsibilities of order fulfillment past the point of production. The warehousing, inventory and staffing necessary to facilitate mass product sales is assumed by the fulfillment company, the only responsibility being necessary for the entrepreneur being the manufacturing of the product itself. The manufactured products are delivered to us, and our staff handles the entire process of getting those individual order to the customers who purchased. Contact Ship My Orders for more information about Kickstarter fulfillment services.