Etsy has unveiled a new crowdfunding pilot program designed to help sellers grow their business and create new products.
The program, dubbed Fund on Etsy, enables anyone to participate in a new product's journey, which can also help buyers establish more meaningful relationships with their favorite Etsy sellers. According to the company, Fund on Etsy is intended to address the financing and product development needs of sellers.
"Over the past few years, crowdfunding has emerged as a viable and friendly alternative to traditional financing channels for many creatives around the world," the company stated in a blog post. "We believe that crowdfunding on Etsy is a natural way for sellers to forge even more resonant connections with their existing communities and customer bases and to grow in ways that may not have been possible before. Fund on Etsy can also expand the breadth of products buyers can find in our marketplace that they can't find anywhere else."
It is important to note that Etsy's pilot crowdfunding program is launching in the US and will be live from June 16 to August 16 with a limited group of sellers. Sellers in the pilot program have campaigns that illustrate how funding will help them take their business to the next level. That said, Etsy notes that growth means different things to different people, so funds raised could be used for a variety of things, such as purchasing new tools or hiring a helping hand.
Once the pilot program is over, Etsy says it will look at feedback to determine the future of crowdfunding on its platform.