4. Poor Comm-uni-cat-ion.
When it comes to crowdfunding, walking the walk and actually fulfilling orders is the most important thing. However, talking the talk can be a clear indication of just how the walk will go. Some communication red flags are: multiple grammatical errors in project description, FAQs, or backer communications; inconsistencies in team and company information (such as location); lack of disclosure with backers; and poor response rates.
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5. Too Good to be True.
It’s a bird that does the dishes, it’s a plane that parks itself in your single-car garage, it’s a super-scam! Really innovative, ambitious projects and ideas are undeniably exciting, but when you’re backing with your dollars, it’s important that they can become a reality in the timeline you’re singing on for.