Eric Migicovsky, one of the engineers behind the Pebble Watch, had a desire to build a line of wristwatches that would display information from an iPhone like a caller ID and incoming text messages. He attempted to contact venture capitalists for his idea, but it was shot down so he turned to crowd-funding website Kickstarter.com instead. The Pebble watch project now has over $7 million in funding with 18 days left in the crowd-funding website . As a matter of fact, the Pebble watch hit their $100,000 goal in less than two hours after the project went up on Kickstarter.
?By that night, we were at $600,000,? said Migicovsky in an interview with The New York Times. ?We went out for a beer to celebrate, went home and slept, and when we woke up, we were at a million dollars.? Generally companies that receive an investment of around $7 million see it in a second round.
Kickstarter has been a platform for companies that want to create offbeat documentaries, build video games, and set up pop up wedding chapels. There are about a dozen Kickstarter-backed movies at the Tribeca Film Fest this year as well.
Kickstarter has raised over $200 million for 20,000 projects thus far. Only projects that meet their stated financing goals receive the money. People that back Kickstarter campaigns receive insider access to the projects that they have financed.