Kickfurther is an online platform for crowdfunding inventory purchases. It can be a great option for small businesses with immediate inventory needs who can’t wait or don’t qualify for a traditional bank loan. We compiled Kickfurther reviews from around the web to determine what their customers think about the company. We also compared the most popular pricing options for small business owners.
Kickfurther Customer Reviews
Summary of User Reviews
There aren’t that many reviews online of Kickfurther, however of the ones available it seems that the company has a mix of positive and negative reviews. Here’s what we found:
What Kickfurther does well:
Users who recommend Kickfurther liked that the company is transparent with the information they offer.
What Kickfurther does not do well:
Users who gave Kickfurther negative feedback were mostly from the buyer side of the equation who invested in campaigns that ultimately faltered, paying out a negative ROI.
How Kickfurther Works
Kickfurther hosts consignment opportunities, which are known as “Co-Ops,” proposed by brands/businesses to buyers. Simply put, businesses ask backers/buyers to fund their inventory in exchange for a consigned rate. Once the consignment inventory sells, the buyers earn income in the form of a profit. Kickfurther claims that the average annual profit of their buyers is 30%.
If a brand fails to sell their inventory or fails to communicate well with their buyers, the Co-Op can be cancelled by a majority vote from the buyers. You can learn more about the cancellation process here.
Kickfurther takes a 3.5% cut upfront. For example, if you raise $10,000, you will get $9,650 in your bank account once Kickfurther takes its cut. You will also need to sign a contract that specifies what percentage of each inventory sale will go to pay investors back, so price your goods accordingly.
|Maximum Loan Amount||You request amount, up to 25% of annual revenue.|
|APR||You set, ~20% - 30%|
|Payback Time Period||6 Months|
|Funding Speed||7 - 10 Days|
|Time in Business||At least 1 successful production run, and your inventory has a shelf life of at least 1 year.|
There’s also no collateral required in the traditional sense. However, if your offer is funded on Kickfurther, then you’re no longer the owner of the inventory. The investors now own the inventory and can collectively decide what to do with it if the goods don’t sell within the promised time frame.
Compare Kickfurther Alternatives
Not sure if Kickfurther is the right alternative financing or lending option for your small business? Check out our article on alternative financing options for small businesses.