Crowdfunding in my opinion should be for a tangible goal that is of benefit and interest to all involved. There is a reason that this is on IndieGoGo instead of kickstarter. (It is not a kickstarter other than the generic term that seems to be synonymous with crowdfunding these days).
Everything on Kickstarter must be a project.
A project is something with a clear end, like making an album, a film, or a new game. A project will eventually be completed, and something will be produced as a result.
This isn't a project, and nothing definitive that is not already in production will be produced. It fails on this count.
Kickstarter cannot be used to raise money for causes, whether it's the Red Cross or a scholarship, or for "fund my life" projects, like tuition or bills.
This is closer to a cause than not, in my estimation.
Kickstarter cannot be used to sell equity or solicit loans.
This is basically what this is doing if it doesn't make the full 500k to purchase outright.
Kickstarter cannot be used to fund e-commerce, business, and social networking websites or apps.
Fails on this one too from the campaign page.
(all taken from
http://www.kickstart....com/help/guidelines)
Now, taking that off the table and looking at what it is:
- the end goals (other than to purchase a website that is for-profit) is not defined.
- the campaign and the representation of those involved is a bit sketchy.
- the perks are not anything of note ("Due to the nature of this campaign, the cost of the perk tier must exceed the cost of the perk item or it is actually a drain on the campaign. Because of this, perks that we can provide are limited.") and so this is purely a donation.
- Did I mention that the whole thing is pretty half-baked?
Kickstarter is a tool to bring the market together with ideas that would otherwise not get funded or would be prohibitively controlled in that funding. It is not a magic bullet, it is not a get-rich-scheme. Prospectus' should be more planned out than normal in my opinion, and people should be more discerning than they would be if giving larger amounts of money to an investment opportunity, because there is more opportunity for fraud and failure, not less... and less opportunity to reclaim said funds.
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You meant the excerpt that people put in (or used to put in... I've seen a lot without them lately) that will get you started reading.
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