The Crowdfunding Concept isn't new...

So it's new to me. But then I've never personally had to consider raising millions of dollars to complete something. A few not-so-in-depth probes online have shown me that this capital-raising method is not only successful, it is being used for some very interesting projects.

Such as journalism:

US company Spot.us has developed a site for collecting contributions that would fund artciles to be written on various topics. Their mission statement: "Spot.Us is a nonprofit project to pioneer 'community funded' reporting. Through Spot.Us the public can commission investigations with tax deductible donations for important and perhaps overlooked stories.”

In early November last year, Spot.us spread their wings a little further than the grassroots community and allowed the New York Times to use crowdfunding from 100 people to raise $10,000 US to fund a story. Reporter Lindsey Hoshaw was sent out into the Pacific Ocean for a week to report on the famous 'Pacific Garbage Patch'.

Mashable.com ran a story about the NY Times article and it's use of crowdfunding. It's a good read, explaining how the model can be used successfully.

Such as Recording and Distribution for Musicians:

The entrance of website communities like MySpace and Facebook have allowed musicians access to their fans in ways never before possible. In these forums, artists are often discovered by fans, who are followed by the studios. With this access, bands have been able to distribute new albums through new means, thereby avoiding costly and binding contracts. A new step to assist bands needing funding is being attempted by Sellaband.com, who coin their model "fan-funding". To date they claim $3 million raised and over 40 individual budgets reached.

Crowdfunding blogger Crowdmanage posts about the Sellaband concept saying that while the model presents excellent potential, he's not convinced that they have quite tweaked their marketing and presentation enough. It's interesting to listen to his video as he dissect where the model fails to engage enough audience to equal success, in his mind. But then, hey, at least some bands have been helped along the way.

Such as small-scale charitable projects:

I read about this project the other day in a magazine (sorry I actually can't recall which one) But anyhow, it is one of many charitable undertakings that has come about as a result of someone travelling and thinking "Gee, I really wish I could help here. I wonder if..." and really doing it. 88bikes describes itself as 'micro-philanthropic' in its pursuit to provide bicycles to young people in developing countries. People are asked to donate, with $88 being the full cost of a bike locally made and bought in the country where it will be donated. This model has been successful enough for 4 successive projects to have been completed in Cambodia, Uganda, and Peru.

The more I read about crowdfunding, the more I realize that it isn't new to me. Everytime I contribute to someone's honeymoon fund on their wedding registry I am employing this model. Everytime I buy cookies from a sweet schoolgirl raising money for a school field trip to somewhere educational, I am joining other people in making someone's dream a reality. Why shouldn't we all have a vested interest in seeing things we love come to be? And with that vested interest comes a sense of ownership - the feelgood fuzzies. And we all could use more of that. So, I'm for being offered the option to communally fund things I believe in. Hugs all round. :)