CDFA // BNY MELLON DE DEVELOPMENT FI FINANCE WEBCAST SE SERIES - - PowerPoint PPT Presentation

▶
cdfa bny mellon de development fi finance webcast se
SMART_READER_LITE
LIVE PREVIEW

CDFA // BNY MELLON DE DEVELOPMENT FI FINANCE WEBCAST SE SERIES - - PowerPoint PPT Presentation

Mar 08, 2023 380 likes •1.04k views

CDFA // BNY MELLON DE DEVELOPMENT FI FINANCE WEBCAST SE SERIES Crowdfunding Small Business Development The Broadcast will Begin at 1:00pm Eastern Submit your questions in advance using the GoToWebinar control panel View previous webcast

slide-1
SLIDE 1

WWW.CDFA.NET // WWW.BNYMELLON.COM

CDFA // BNY MELLON DE DEVELOPMENT FI FINANCE WEBCAST SE SERIES Crowdfunding Small Business Development

The Broadcast will Begin at 1:00pm Eastern

Submit your questions in advance using the GoToWebinar control panel View previous webcast recordings online at www.cdfa.net

slide-2
SLIDE 2

WWW.CDFA.NET // WWW.BNYMELLON.COM

Are you a CDFA Member?

Members receive exclusive access to thousands of resources in the CDFA Online Resource Database. Create your unique login today at www.cdfa.net

Cayla Matsumoto

Director, Education Council of Development Finance Agencies Columbus, OH

Hello! Welcome to the webcast.

slide-3
SLIDE 3

WWW.CDFA.NET // WWW.BNYMELLON.COM

Join the Conversation

Listen through the telephone for best audio quality. Submit your questions to the panelists here.

slide-4
SLIDE 4

WWW.CDFA.NET // WWW.BNYMELLON.COM

CDFA Training Institute

16 courses in development finance designed for all skill levels. Learn more and register today at www.cdfa.net

Panelists

Se Seth th Cr Cron

  • ne,

, Mod

  • derator

Vice President of Client & Business Development The Bank of New York Mellon

Di Diane Wolv

  • lverton

Co-Creator and Chief Executive Officer The Local Crowd, LLC

Kim Kim Vin Vincent

Co-Founder and Chief Operating Officer The Local Crowd, LLC

Trey She Sherw rwood

Executive Director Laramie Main Street Alliance

Katharine Cz Czarn arnecki

Senior Vice President, Community Development Michigan Economic Development Corporation (MEDC)

Crowdfunding Small Business Development

slide-5
SLIDE 5

WWW.CDFA.NET // WWW.BNYMELLON.COM

What are you reading?

Your development finance toolbox isn’t complete without a set of CDFA reference guides. Members save 15% on every purchase. Order today at www.cdfa.net.

Seth Crone

Vice President of Client & Business Development The Bank of New York Mellon Houston, TX

Crowdfunding Small Business Development

slide-6
SLIDE 6

WWW.CDFA.NET // WWW.BNYMELLON.COM

Diane Wolverton

Co-Creator and Chief Executive Officer The Local Crowd, LLC Laramie, WY

CDFA Training Institute

16 courses in development finance designed for all skill levels. Learn more and register today at www.cdfa.net

Crowdfunding Small Business Development

slide-7
SLIDE 7

WWW.CDFA.NET // WWW.BNYMELLON.COM

Are you a CDFA Member?

Members receive exclusive access to thousands of resources in the CDFA Online Resource Database. Create your unique login today at www.cdfa.net

Kim Vincent

Co-Founder and Chief Operating Officer The Local Crowd, LLC Laramie, WY

Crowdfunding Small Business Development

slide-8
SLIDE 8

WWW.CDFA.NET // WWW.BNYMELLON.COM

What are you reading?

Your development finance toolbox isn’t complete without a set of CDFA reference guides. Members save 15% on every purchase. Order today at www.cdfa.net.

Trey Sherwood

Executive Director Laramie Main Street Alliance Laramie, WY

Crowdfunding Small Business Development

slide-9
SLIDE 9
slide-10
SLIDE 10

…to support the wellbeing of rural families by catalyzing entrepreneurial ecosystems through the introduction

  • f a localized crowdfunding tool.
slide-11
SLIDE 11
slide-12
SLIDE 12
slide-13
SLIDE 13
slide-14
SLIDE 14

Teaching Best Practices  Creating User Success

–Massolutions Crowdfunding Industry Report

Day to Day marketing plans raise 180% more. Regular updates raise 126% more. Videos raise 105% more. Teams raise 38% more. Best campaigns last 20-40 days. Best descriptions are 300-500 words. Once you reach your goal, you are 78% more likely to exceed it. Personal email is Best way to connect. People are 22% more likely to give once the project has reached 40% of its goal.

slide-15
SLIDE 15

How Can CDFA Clients Use This Technology?

slide-16
SLIDE 16

Built from ground up with local in mind with

  • Local features
  • Local teams
  • Education
  • Creating an

ecosystem of mutual support

slide-17
SLIDE 17
slide-18
SLIDE 18

1st Tier 1st Tier 2nd Tier 2nd Tier 3rd Tier 80% of funds raised come from activities of the Campaign Creator and his or her team. In the TLC model, the Community becomes the team, increasing the success factor exponentially.

slide-19
SLIDE 19
slide-20
SLIDE 20

Women-led campaigns reach their goals more often than men. What if we could put an end to the gender gap women entrepreneurs face when raising capital? How would the lives

  • f women and

families be changed?

slide-21
SLIDE 21

Crowdfund Fallacy It takes Time You need a Team Use the Tools Tenacity

slide-22
SLIDE 22

T -90 T -60 T -30

slide-23
SLIDE 23

“Start with Why” “When you start with WHY, those who believe what you believe are drawn to you for very personal reasons. It is those who share your values and beliefs, not the quality of your products, that will cause the system to tip.” —Simon Sinek “If you know the why, you can live any how.” —Friedrich Nietzsche

slide-24
SLIDE 24

Teams raise 3 times more funds than individuals.

1st Tier 1st Tier 2nd Tier 2nd Tier 3rd Tier Campaign Team

slide-25
SLIDE 25

CCPA Pages 6-8

  • Who else will benefit from this campaign?
  • Who cares about you and this campaign enough

to be a champion?

  • Who will give money to this campaign & why?

ALL team members should complete these exercises.

slide-26
SLIDE 26

Prepare list of ALL budget items Develop projections for campaign If your projection is over $10,000, think about lowering goal Set stretch goals

KEY: Launch with 30% of goal already

committed by your supporters

slide-27
SLIDE 27

Once upon a time…

The cast of characters: Who is making this happen? Setting: Where are you? Plot: What is happening? Timeline: Beginning, Middle, End Conflict: What is standing in your way? What problem are you solving?

Resolution: How will that be fixed?

…and they all lived happily ever after.

slide-28
SLIDE 28

What makes a reward irresistible?

  • A sense of appropriate exchange.
  • New, innovative product
  • Cool technology
  • A unique experience
  • Events
  • Vanity Opportunities and Sponsorship
  • Redirecting dollars: offer things people are planning

to buy anyway.

slide-29
SLIDE 29

Show AND Tell Appropriate Tone – Who are you talking to? A hook within the first 15 seconds A face (and personality) to the name Concise and Quick – Write a script High quality sound and visuals

slide-30
SLIDE 30

Make a marketing PLAN Create a marketing CALENDAR Employ your social media TOOLS Keep the big picture in mind.

Pre-Launch Launch Day Campaign Duration Post- Launch

Then, pencil in the details.

slide-31
SLIDE 31

Personal ask is always best—personal emails out perform all social media. Ask to fund, share, ask to fund again, ask to buy rewards Share details from the campaign. What are the rewards? Who are offering them? What is it raising funds for specifically? Share details. Who runs the business/organization? Share a quick video or bio about them. What amazing things does the community have to say about them? Share their testimonials. Read Amanda Palmer’s The Art of Asking

“Asking is not begging, it’s connecting.” —Amanda Palmer

Make the ask—Many times, Many ways

slide-32
SLIDE 32

42% of funds are raised in the first and last three days of a campaign.

slide-33
SLIDE 33

The Two-Humped (Bactrian) Camel

Early Social Proof Creates Confidence in You and Your Campaign

slide-34
SLIDE 34
slide-35
SLIDE 35
slide-36
SLIDE 36
slide-37
SLIDE 37
slide-38
SLIDE 38
slide-39
SLIDE 39

Regular gatherings for peer-to-peer support

slide-40
SLIDE 40

TheLocalCrowd.com

diane@thelocalcrowd.com kim@thelocalcrowd.com Downtownlaramie@gmail.com

slide-41
SLIDE 41

WWW.CDFA.NET // WWW.BNYMELLON.COM

Katharine Czarnecki

Senior Vice President, Community Development Michigan Economic Development Corporation Lansing, MI

CDFA Training Institute

16 courses in development finance designed for all skill levels. Learn more and register today at www.cdfa.net

Crowdfunding Small Business Development

slide-42
SLIDE 42

COMMUNITY DEVELOPMENT

Katharine Czarnecki

Michigan Economic Development Corporation

Winter 2017

slide-43
SLIDE 43

COMMUNITY DEVELOPMENT

slide-44
SLIDE 44

COMMUNITY DEVELOPMENT

Our Thinking…

1) How can we empower communities to support and invest in developing community/public spaces during difficult economic times? 2) And how can we support communities so they can be an attractive place to live, work and play?

slide-45
SLIDE 45

COMMUNITY DEVELOPMENT

slide-46
SLIDE 46

COMMUNITY DEVELOPMENT

Placemaking & Public Space

“The art and science of developing public spaces that attract people, build community by bringing people together, and create local identity”

  • Project for Public Spaces
slide-47
SLIDE 47

COMMUNITY DEVELOPMENT

1) A simple and innovative way to raise donations to revitalize or create public spaces 2) Engages public participation and community pride

Our Solution

slide-48
SLIDE 48

COMMUNITY DEVELOPMENT

  • MEDC partnership with Patronicity and the MML
  • Communities and non-profits can submit projects by applying

to Patronicity for an online crowdfunding campaign.

  • Patronicity handles Project Administration (10%)

The Program

www.patronicity.com/puremichigan

slide-49
SLIDE 49

COMMUNITY DEVELOPMENT

  • Projects that meet fundraising goal can receive a matching grant

from MEDC of up to $50,000.

  • For supporting, patrons receive unique rewards specific to each

project.

How it Works

slide-50
SLIDE 50

COMMUNITY DEVELOPMENT

  • Located in Michigan communities which contain a traditional downtown
  • Submitted by local communities and non-profit entities

Eligible Applicants

slide-51
SLIDE 51

COMMUNITY DEVELOPMENT

  • Streetscape Beautification & Walkability
  • Public Plaza Development
  • Access to Public Amenities (Riverwalks, Canoe Livery, Pier Enhancements)
  • Farmer’s Markets, Community Kitchens, Pop-Up Retail/ Incubator Space, Art

Education Centers

  • Alleyway Rehabilitation
  • Park Enhancements
  • Bike Paths & Non-Motorized Infrastructure
  • Community Theater Rehabilitation (non-profit)
  • Any other project that activates public space or a community place!

Types of Projects

slide-52
SLIDE 52

COMMUNITY DEVELOPMENT

Evaluation Criteria

  • Located in a Customer Community (w/ Traditional Downtown)
  • A defined focused project
  • Overall impact of the project on the community and placemaking efforts
  • Project location
  • NON-Customer - Some trail projects w/ connectivity to traditional downtown – stress link w/ applying entity
  • Local financial commitment
  • Current fundraising and marketing campaigns
  • Project start and completion date
slide-53
SLIDE 53

COMMUNITY DEVELOPMENT

  • 1. Project Intake – First Blush
  • Community, Non-Profit
  • 2. Engage w/ Patronicity
  • 3. Build/Submit an online project profile
  • 4. Patronicity application review
  • 5. MEDC/MML application review
  • 6. Patronicity “polishes” the project proposal
  • 7. Crowdfunding goes live
  • 8. Implementation

PSCP Process

slide-54
SLIDE 54

COMMUNITY DEVELOPMENT

  • A Strong Network
  • A Team behind the project
  • The Groundwork (4-6 weeks)
  • Pitch, Creative Rewards, Engaging Video
  • Strategic Marketing Plan
  • Many Small Donors- Few Large Donors
  • Personal Touch- Connection matters
  • Never Quit!

Keys to Success

slide-55
SLIDE 55

COMMUNITY DEVELOPMENT

Successful Projects

slide-56
SLIDE 56

COMMUNITY DEVELOPMENT

Case Study: REACH Arts Center

  • Strong grass-roots presence, Youth community center
  • Raise funds for blighted area re-development and center expansion
slide-57
SLIDE 57

COMMUNITY DEVELOPMENT

55% 15% 23% 7% Years donating to REACH?

Never <1 year 1-5 years 5+ years

38% 33% 13% 7% 9% How did you hear about this campaign?

Newspaper REACH Facebook Patronicity Other

Case Study: REACH Arts Center

.

  • SUCCESS! Raised nearly $50,000 from 289 donors
  • Majority of donors in 5-mile radius, furthest Mass
slide-58
SLIDE 58

COMMUNITY DEVELOPMENT

  • 130 projects in over 70 MI communities
  • Activated 5.6M sq/ft of unique public space
  • $4.8M crowdfunded to date
  • $4.1M in grant funding provided
  • Spurred over $27M in private investment
  • Lasting places that MATTER to communities and the people living there

Success!

slide-59
SLIDE 59

COMMUNITY DEVELOPMENT

It’s Replicable!

slide-60
SLIDE 60

COMMUNITY DEVELOPMENT

QUESTIONS?

Katharine Czarnecki

czarneckik@michigan.org| 517.241.4950

slide-61
SLIDE 61

WWW.CDFA.NET // WWW.BNYMELLON.COM

Audience Questions

Submit t you

  • ur ques

esti tions to

  • th

the e panel el now by usin ing th the e GoT

  • ToWebinar con
  • ntrol

l panel. el.

slide-62
SLIDE 62

WWW.CDFA.NET // WWW.BNYMELLON.COM

Fun Fundamentals ls of

  • f Economic

ic De Develo lopment Fi Fina nance WebC ebCou

  • urse

January 24-25, 2018 Daily: 12-5pm Eastern Intro Bo Bond nd Fi Finance WebC ebCourse February 21-22, 2018 Daily: 12-5pm Eastern

Register Online at www.cdfa.net

Upcoming Events at CDFA

slide-63
SLIDE 63

WWW.CDFA.NET // WWW.BNYMELLON.COM

Join Us for Future Webcasts CDFA // BNY MELLON DE DEVELOPMENT FI FINANCE WEBCAST SE SERIES Tuesday, January 16 @ 1:00 pm Eastern

slide-64
SLIDE 64

WWW.CDFA.NET // WWW.BNYMELLON.COM

Seth Crone

Vice President of Client & Business Development 713-483-6568 seth.crone@bnymellon.com

The material contained herein is for informational purposes only. The content of this is not intended to provide authoritative financial, legal, regulatory or other professional

  • advice. The Bank of New York Mellon Corporation and any of its subsidiaries makes no express or implied warranty regarding such material, and hereby expressly disclaims all

legal liability and responsibility to persons or entities that use this report based on their reliance of the information in such report. The presentation of this material neither constitutes an offer to sell nor a solicitation of an offer to buy any securities described herein.

Contact Us

Cayla Matsumoto

Director, Education 614-705-1318 cmatsumoto@cdfa.net