Crowdfunding Site-Crowdfunding has become an important technique for obtaining funds for a variety of purposes, including new product launches, medical debt, and scientific research. However, with so many different types of crowdfunding platforms now available, you may be unsure which one will best suit your needs.
There are a number things to consider before answering that question, including site features, community, and cost structures. Before we get into the best crowdfunding sites for 2021, there are a few things to bear in mind as you conduct your study. When determining which platform to use, our list of crowdfunding sites will undoubtedly provide you peace of mind.
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Four crucial features to check for when comparing crowdfunding platforms
If you’re wondering, “How does crowdfunding work?” you’ve come to the right place. The idea is simple: someone creates an online fundraiser to address a financial need, and their friends and family members donate to their cause. The organiser then withdraws the funds, which are then remitted to their bank account within 2-5 business days. The most vital services to look for in any online fundraising site are listed below.
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User-friendliness
Navigate the crowdfunding platform site before you launch a fundraiser. The greatest crowdfunding platforms entice you to stay on their pages, learn more, and participate. Choose an alternative crowdfunding site if it involves a lengthy process to get started.
Customer service
Is there an email address, a live chat option, or a phone number for customer service? Remember that your friends and relatives will be providing money, and they may require assistance as well. It’s critical for the site’s administrators to be truthful, accountable, and accessible, as well as to strive for the best degree of client happiness.
Tools for raising awareness in your neighbourhood
Take a peek at the social networking features provided by the crowdfunding platform. The finest crowdfunding websites include simple features for sharing your fundraising on social media platforms like Facebook, Twitter, email, and others. These capabilities are critical because your social network is such an important part of your crowdfunding campaign’s effort to reach your target audience.
Comparison of crowdfunding fees
When a crowdfunding site takes a percentage of all the money you generate through your fundraiser, this is known as a platform fee. Fees charged by crowdfunding platforms often vary from 5% to 12%. Keep an eye out for charge structures that are harsh. If you don’t accomplish your objective, certain platforms will raise your fees. Others use an all-or-nothing approach, in which you only get paid if you accomplish or surpass your target.
As you analyse the top crowdfunding sites in each area, keep these four crucial aspects in mind.
Crowdfunding in the field of education
1. Donors Have a Say
This nonprofit crowdfunding tool makes it simple to gather contributions for any classroom in need of financial assistance over the internet. Teachers from all over the United States use the site to post requests for classroom projects.
Fees: A 1.5 percent fee for third-party payment processing represents the weighted average of fees across all payment methods utilised by donors. A 2.5 percent fee is added to credit card and PayPal donations. The site does not charge a platform fee because the nonprofit’s operating costs are funded by voluntary donations.
2. Donate to GiveCampus
GiveCampus collaborates with colleges to assist students, alumni, parents, and teachers in organising fundraisers for school-related projects. The money raised goes straight to the school. They also have a system for managing volunteers.
Fees: To use GiveCampus, schools must sign up for a monthly subscription. For a quote, schools should contact GiveCampus.
3. Piggyback rider
Piggybackr is a school fundraising platform where parents and students may generate money for school projects (as a group or individually). Piggybackr rewards students for their fundraising efforts with points and badges.
Fees include a 4% platform charge and 2.9 percent + $0.30 per transaction for payment processing.
Nonprofits can use personal crowdfunding and internet fundraising services to raise funds.
4. GoFundMe (http://www.gofundme.com/)
With a global giving community of more than 50 million, GoFundMe is the world’s largest social fundraising platform for individuals, teams, and nonprofits. It’s one of the best platforms for personal fundraising on the internet. It’s the first and only platform with a donor protection guarantee, with more than $5 billion raised. Customer Happiness agents are available 24 hours a day, 7 days a week on GoFundMe. GoFundMe reviews can be found here.
Fees: GoFundMe is a fundraising platform powered by donorsTM. For organisers, there is a 0% platform charge plus regular payment processing fees of 2.9 percent + $0.30 per donation.
5. FundRazr is a crowdfunding platform.
Individuals, NGOs, and businesses can utilise this platform to crowdfund for topics they care about. They have both keep-it-all and all-or-nothing fundraisers, which means you don’t receive access to your money until you’ve met your goal.
Fees: Individuals and groups can choose a fundraising model with no platform cost for organisers (supporters are solicited for optional tips), or a “professional” model with a 5% platform fee.
6. Fundly
Individuals and NGOs alike can use Fundly to create digital fundraisers for a variety of causes, including fraternities and sororities, the military, and politics.
Fees: It’s free to open a Fundly account, but every donation will be subject to a 4.9 percent platform fee, as well as a 2.9 percent + 30 cents payment processing cost.
7. Charity on GoFundMe
GoFundMe Charity is one of the greatest crowdfunding platforms for NGOs, and it makes a difference through social fundraising and other features. It can assist with ticketing and registration, as well as donor data and fundraising for teams.
Fees include a platform charge of 3% to 5% of funds raised, as well as a payment processing fee of 2.4 percent to 2.9 percent and a fixed $0.30 per transaction. Premium and enterprise models are available, both with extensive features and services.
8. Elegant
Classy is a nonprofit and social enterprise-focused online fundraising platform that includes a fundraiser reporting tool for tracking fundraising efforts. Another site feature, such as tickets and event registration, assists teams in organising volunteer events.
Fees: Pricing for premium offerings isn’t disclosed on the website (contact the site for a price), but services start at $499 per month.
Crowdfunding for artistic endeavours
9. Kickstarter
The platform can be used by creators who are looking for funding for certain projects. Backers are offered rewards such as a small piece of the project, the first available prototypes, or the products that the creators are raising money to manufacture. Creators (ranging from individual designers and inventors to large corporations that want to test new product ideas) offer backers rewards such as a small piece of the project, the first available prototypes, or the products that they are raising money to manufacture. You must raise all of the monies you require, or you will receive nothing.
Fees: A 5% service fee is charged, plus a payment processing cost of 3% + $0.20 per transaction. It’s either all or nothing.
10. Indiegogo
This site has tools to help you get the job done at every level of any creative or entrepreneurial endeavour, from pre-launch to crowdfunding and distribution. You can select between an all-or-nothing fundraising experience and funding that is more flexible.
Fees: A 5% platform fee is charged, plus a payment processing cost of 3% + $0.30 per transaction. When sending money to banks outside of the United States, they charge a $25 international transfer fee.
