Businesses get buzzing with La Ruche Estrie

Starting a new business can be terrifying, and branching out for an established company can also be a gamble, raising questions like “will people be interested in my product?” “Will I have any customers?” and, “How will I pay for all this?”

Knowing that those challenges exist, more than a few groups have popped up in recent years aiming to make the experience a little less daunting. On the local level La Ruche is a non-profit organization that is changing the face of funding for businesses in Quebec.

“La Ruche is in place to stimulate the growth of local industries using proximity crowdfunding,” explained the director of the Estrie division of the organization, Véronique Vigneault. “Projects and new businesses are funded by and for the community.”

But what is crowdfunding exactly? According to Vigneault, it is a system that finances businesses using small amounts of money donated by community members. Similar funding programs, such as Gofundme or Kickstarter, have grown popular over recent years, allowing community-driven projects to develop into global success stories.

La Ruche, founded in Quebec in 2013, takes the model in a different direction by focusing on “proximity crowdfunding”. “Where we stand out is in the process and in results.” Vigneault said. “We accompany our entrepreneurs every step of the way. We have hundreds of ambassadors that provide support, knowledge and insight as the campaign grows. We have a 60 to 70% success rate, compared to other crowdfunding programs where it’s more like 25%.”

“It’s like Dragon’s Den but full of love,” laughed the director. “We want to change the chain of command. The community contributes and gets back. Plus, it really gives choice back to the consumer. You get to decide what gets set up in your community.”

Vigneault proudly announced that though the Estrie division of La Ruche has only been in function for a year, the response has excellent.

“We have a 90% success rate in the Estrie region,” she said. “There are currently 25 campaigns running. Nineteen have already succeeded in reaching their funding goals. We’ve raised around 250 million in local revenue; the concrete amount might be four or five times greater than that.”

La Ruche helps fund new businesses, but also helps existing industries grow and develop special projects. To learn more, visit https://laruchequebec.com/en/estrie/.