Hello and welcome back to the show! It’s Doone here - your host and hype girl. If you’re new to the show - every week we interview some of the world’s most successful founders and entrepreneurs - who happen to be women.

The Journey So Far

Sophie’s journey has been quite a ride. She reflects on the early days when every entrepreneur dreams of perfect branding. However, she’s learned that it’s okay to go through a rebrand later on. The startup world is all about evolution, and just like any good friendship, your brand’s personality can adapt as it grows.

To build brand awareness, Sophie emphasizes the importance of creating relatable, shareable content and leveraging organic marketing channels, including word of mouth and influencer collaborations. Her approach has been to focus on what resonates with her audience.

Email Marketing Magic

One of the highlights of Sophie’s strategy has been her email marketing. She shares that your email list is a treasure trove that belongs to you, and it’s crucial to nurture it. By shifting from generic blanket emails to a more strategic, targeted approach, she saw amazing results: a whopping 50% open rate and doubled her mailing list in just a year! She suggests that at least a third of your revenue should come from email, with additional income from referrals and direct sales.

Sophie also breaks down her email strategy: a welcome flow of evergreen content to encourage purchasing behavior and a content-heavy weekly newsletter that keeps her audience engaged. Tools like Klaviyo help manage this effectively.

The Financial Piece

In terms of funding, Sophie initially raised £250K in August 2020, which helped refine her brand and make essential hires. By November 2021, she launched an equity crowdfunding campaign, raising around £1.2M. The process was a whirlwind, described as a "balls-to-the-wall marketing campaign" that generated significant excitement. They hit their fundraising goal in just 24 hours, eventually reaching overfunding within 31 days!

When considering equity crowdfunding, Sophie stresses the importance of understanding your financial needs and who you’re raising money from. For her, avoiding traditional VC funding felt right. By engaging her community through crowdfunding, she not only gathered funds but also built deeper connections with her brand supporters.

The Set-Up

Setting up a successful crowdfunding campaign involves a lot of effort and investment. For Sophie’s first campaign, they spent around £8-9K on videos and marketing. She highlights the importance of being transparent about your brand and communicating effectively.

Sophie also points out the rigorous due diligence process involved with platforms like Seedrs. It's crucial to prepare well in advance. She even created a Gantt chart to keep everything organized, from social media posts to email announcements.

A key takeaway for potential crowdfunders is to expect a delay in seeing the funds in your account—Sophie experienced a four-month wait. Being patient and prepared is vital.

Lessons from Campaign Two

Sophie’s second campaign in late 2022 was a different story. They aimed for a smaller round of £250K but raised it in just eight hours. However, after reevaluating their strategy, they decided to cancel the campaign and return the funds to investors. Sophie emphasizes the importance of aligning fundraising with your business plan and not rushing into it.

Final Thoughts

Sophie's advice for running an equity crowdfunding campaign? Treat it as a comprehensive marketing effort that deserves your full attention. When you put in the effort, it pays off.

Exciting news! Sophie will also be joining us for a 1-on-1 session inside Majic, where she'll share her process document and insights. You won’t want to miss it!

So, whether you’re a seasoned founder or just starting out, remember that every step counts. With the right strategies and a little community love, you can build something amazing. Happy fundraising!