|One of many promo photos attached to Archie Comics' failed Kickstarter. Source: ICv2.|
By +Tim Beyers
Issue 27 of +The Full Bleed hit YouTube last night, as promised. (Episode embedded below.)
This is my industry issue and in it I tackle the hubbub around Archie Comics' failed Kickstarter campaign. Fellow observers Rob Salkowitz and Jeremy Melloul have post-game analysis if you're interested in exploring what went wrong. Here, I want to talk about why equity crowdfunding would have been a better alternative, especially in light of Archie's admitted balance sheet weakness that made securing a bank loan or another form of traditional financing difficult.
"Once we realized funding was needed we explored more traditional options, but because of elements in relation to the company that I can't really change for the time being, those options weren't as open to us as I'd like," CEO and Publisher Jon Goldwater said in an interview with Comic Book Resources.
No wonder Archie went to Kickstarter. Businesses have a long history of collecting huge sums on the platform without having to do the difficult work of preparing financial statements or convincing investors of their ability to produce a return. That's not a good thing. In the video, I address why and talk about:
- Why Archie's approach was never suited for Kickstarter, and why that's a good thing.
- Why equity crowdfunding is a better alternative for situations like this.
- The one step every indie comics creator should take first before trying to raise funds, either via Kickstarter, Indiegogo, or selling equity.
Ready to learn more? Click the video to watch now and then subscribe to never miss an issue. The Full Bleed is a founding member of The Geek Initiative, a collection of blogs teaming up like Voltron to bring you the best news, reviews, and analysis of genre entertainment.