We cannot argue against the reality that crowdfunding is a growingly popular method of generating money. While there is still a lot of conventional fundraising, contemporary crowdfunding is starting to emerge in India.
You’re justified in having reservations about the fundraising procedure. But eventually, these uncertainties frequently spread and develop into widespread misunderstandings about crowdfunding in general. And this is one of the reasons why individuals continue to favor personal loans over crowdsourcing, especially for terminal illnesses like cancer.
Before we talk about why crowdfunding is better than personal loans, let’s understand what is crowdfunding.
Introduction to Crowdfunding
Crowdfunding, to put it simply, is the process of raising money for your project from a variety of sources. While fundraising involves requesting money to support various causes or charitable organizations.
The majority of traditional fundraising is done offline. Marketing, branding, and campaign execution are all done offline. In contrast, current crowdfunding takes place online, due to the influence of the west.
Although crowdfunding has been around for years, it has only lately gained popularity as a way to connect with thousands of people for a single cause. Crowdfunding is the process of raising money from a large number of people for a certain objective. Getting money to develop a company concept is one example.
A cause-related goal is the primary objective of the donation-based crowdfunding technique known as “medical crowdfunding.” Through this type of crowdsourcing, people may collect money for a loved one who is ill or disabled.
This may be done to generate money for medical bills, to pay for home adaptations because of a handicap, or to pay for the necessities of living while a loved one receives medical attention.
Medical crowdfunding is an effective method to quickly connect with relatives and friends when the objective is to help pay for a person’s medical care.
Although traditional methods of raising money for a good cause might be readily mistaken for medical crowdfunding, the latter makes use of cutting-edge technology to make fundraising far more successful and efficient.
Advantages of Crowdfunding over Personal Loans
Traditional fundraising has limitations, but crowdfunding doesn’t.
Due to the nature of internet fundraising, individuals from all across India may view and appreciate the significance of your cause. They may contribute any amount they choose with just one button click, helping your campaign move closer to its goal.
When compared to crowdfunding, offline conventional fundraising efforts take more time and money since it takes time to approach people and explain your cause, plus there are fees associated with advertising on television or in newspapers, paying graphic designers, printing banners, etc.
If you want to avoid the inconveniences associated with conventional fundraising. Long-term goals might benefit from traditional fundraising. Traditional fundraising, however, is often carried out by nonprofit organizations and can be challenging for individuals to carry out.
Crowdfunding is one option to consider if you have a business or startup and are aware of the challenges you will encounter when applying for bank loans or contacting VCs. People will assess your proposal in this way, and there is a chance that your brand outreach may increase.
Comparing crowdfunding to medical loans, the former is significantly quicker and simpler. The money you borrowed for medical care is not required to be returned. Therefore, using medical crowdfunding is always preferable to obtaining a medical loan.
4. No Repayment
You can raise any desired amount through online crowdfunding for medical expenditures thanks to the generosity of kind people. Everyone can afford healthcare thanks to crowdfunding. Crowdfunding has no repayment requirements and is emergency-proof!
5. No Additional Expense
Crowdfunding is used to generate money for private or public support. However, it is erroneously assumed that crowdfunding doesn’t require a significant financial investment. You will need a team, which will cost you some money, to raise awareness of your campaign and manage it efficiently. Additionally, you require money to run advertisements on social media sites to raise awareness of your cause.
Why Choose Crowdfunding over Personal Loans?
The best choice is to use an online medical fundraiser because medical insurance might run out quickly and medical loans take some time to be authorized. There won’t be a need to worry about medical costs once the campaign is active. Fundraisers do not have to be concerned about paying back loans with exorbitant interest rates because the benefits are instant and obvious.
For people who cannot afford life-saving medical care, crowdfunding is a godsend. Medical crowdfunding has improved the lives of millions of individuals, saved their lives, and made their loved ones happy. Ketto offers free medical care to deserving recipients every day, putting smiles on their cheeks.