Quick thought from Dominic Lin, founder of Funding Garage:
"Crowdfunding has been receiving lots of negative publicity for the seemingly endless amounts of fraudulent campaigns or unfulfilled promises it has delivered.In my opinion there is a fine line between the two but the end result is the same: disappointed contributors. As these contributors get "burned" time after time, I can understand why crowdfunding becomes a total turn-off for them; which is unfortunate.
One idea Funding Garage is thinking of implementing into its system is the process of releasing funds to campaign starters in phases; where campaign owners would be required to spell out the purpose and amount of funding needed per a released milestone schedule. If the campaign goes radio silence, the funding gets frozen.
Of course there would be an added level of monitoring, auditing, and management, and one would ask if this is proper or even viable for a crowdfunding website company. I would offer that if us crowdfunding website founders do not do anything about controlling frauds or scams quickly, we would be making a big mistake."
D. Lin
Founder, Funding Garage
www.fundinggarage.com
