Crowdfunding: For Richer, for Poorer?

Posted: Fri, 21 June 2013 by Cara

Intern Cara Pleym debates whether the wealthy, such as actors James Franco and Zach Braff, are right or wrong to use crowdfunding.

There has been a lot of controversy over the recent news story that actor James Franco is crowdfunding to fund his film trilogy. His story isn’t the first either - Scrubs actor Zach Braff crowdfunded his movie, and the project for the Veronica Mars movie was one of the most successful crowdfunding projects ever.

On one hand, some argue that crowdfunding means equal access to crowdfunding regardless of their wealth, whereas others believe that if you have money, you shouldn’t be asking for more! It’s a thorny issue, but we want to explore some of the questions that this news story has raised.

At Bloom, we believe that we shouldn’t apply selection criteria because we’re not here to judge. Instead, we help you create a project that is high quality, and then let the crowd decide who they do or don’t want to back. Therefore, we wouldn’t look at personal wealth as excluding someone from crowdfunding, because we also believe that crowdfunding is not just about the money.

The heart of crowdfunding is the community, and this is particularly true for celebrities who have massive fan bases. Crowdfunding could allow such celebrities to engage more closely with their fans, and give them the opportunity to be involved. Fans can get a sense of ownership of the end result, because they know they have helped make the project a reality, whether they put in £1 or £1000.

However, we also recognise that it can also be seen to be morally wrong, taking money from those who have less. We appreciate this, but the reality of the situation is that by crowdfunding, these famous figures are holding themselves responsible to a crowd of thousands. Fraud is a very rare occurrence in crowdfunding for this very reason – the crowd will chase you if you don’t live up to expectations!

Right or wrong, we still think everyone should be given the chance to crowdfund. After all, the power is well and truly in the hands of the crowd, who will decide whether or not they can get behind any particular project. We all have the choice of whether and whom to give money to.

So all in all, our opinion is that crowdfunding is and should be open to all, but that it’s your choice whether you want to get involved.

Do you agree? We would love to hear your thoughts – comment on Facebook or tweet us!

(image courtesy of www.people.com)