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Crowdfunding kickstarts local businesses, projects

February 7, 2014

Hannah Tehan holds up a bag of biscuits made by her mother Michelle Tehan, who has launched a Kickstarter campaign to crowdfund a storefront for her baked goods. (Submitted photo)

Starkville’s Michelle Tehan wants to open a bakery, and she’s relying on a fundraising recipe called crowdfunding that’s proven successful for others in the Starkville area and thousands of young entrepreneurs around the world.

One of the most popular online crowdfunding platforms is Kickstarter, where Tehan has launched a page for “The Biscuit Shop.” Entrepreneurs on Kickstarter set a fundraising goal toward which prospective customers, called “backers,” can pledge contributions. If the fundraising goal is not met in a set amount of time, the pledges are nullified and backers keep their money. If the goal is met, the entrepreneur receives the money and rewards backers, usually with the product their business sells.

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