Last week the crowdfunding world was shaken up by a new scandal. Kreyos, a smart watch project, which raised $1.5 million on Indiegogo, was called out for being a scam by backers and media publications. Thousands of the backers are angry and promise to never again support new campaigns.
Unfortunately, it seems to be happening more and more often. The delivery rates are low for crowdfunding campaigns. For example, according to our research of 300 wearable technology projects earlier this year, only 18% of flexible funding campaigns on Indiegogo have resulted in the products being delivered to the backers.
We are not professional investors and don’t have the expertise/time/desire to do a due diligence check. Still, how can we avoid con artists or just those who don’t have the skills and expertise to bring the product to the market? I’ve created a list of the red flags to watch for and would love to hear your feedback and addition to it. Continue reading on Crowdcrux.com