How To Choose The Right Crowdfunding Solution
Learn how to compare your options and discover the right crowdfunding solution for your needs.
There are hundreds of crowdfunding options on the Internet!
But don’t let the sheer volume of options trip you up. Compare five key areas to find the right solution for your crowdfunding needs: structure, fees, features, reach, and reputation.
Here’s a closer look at why each area matters:
STRUCTURE
Who does the platform serve?
Read the platform’s mission statement and scroll through existing projects to learn about its structure and whom it serves. Kickstarter, for example, is focused on bringing creative projects to life. GoFundMe, for example, is designed to help people raise money for life events, from high school graduation to unexpected accidents.
Did you know: Here at GlobalGiving, we consider ourselves a partner, not just a platform. We are a 501(c)(3) registered nonprofit with a mission to help other nonprofits grow and become more effective. That means donations made through our platform are tax-deductible.
FEES
What fees will you incur?
Some platforms charge set-up fees, ongoing subscription fees, and/or fees per transaction. Be wary of platforms that are not upfront about their fees.
Did you know: There’s no fee to join GlobalGiving. Instead, GlobalGiving retains a 5–12% nonprofit support fee plus a 3% third party processing fee for each donation. GlobalGiving works hard to keep our costs low! Although our support fee may vary due to a number of factors, it is typically 5–7%. This covers our vetting costs and enables us to deliver even more money to our partners. Because we drive money back to our partners in the form of new donors, matching funds, and corporate partnerships, the net cost to most of our nonprofit partners is actually zero!
FEATURES
What benefits and features will you get?
Make a list of features that matter most to you and find out whether you’ll get them.
Did you know: GlobalGiving offers unique crowdfunding tools? A few ‘extras’ include gift cards, promotional opportunities, peer-to-peer fundraising tools, specialized training, one-on-one fundraising support, matching campaigns, and disaster response services.
REACH
Will the platform promote your project?
Consider what kind of donors and corporate partners you may be able to connect with through the platform, and look to social media for clues about if and how the platform will promote your project.
Did you know: Since 2002, GlobalGiving has raised $300+ million for 18,000+ projects in 170+ countries! We promote projects tirelessly and partner with 170+ companies, including Nike, Ford, and Microsoft, and 726,000+ individual donors, to fund local solutions to global problems.
REPUTATION
What do people say about the platform?
Ask existing users about their experience, and read reviews from independent and trusted sources.
Did you know: Charity Navigator gives GlobalGiving four-stars, its highest rating. We are also accredited by the BBB Wise Giving Alliance.
If you found this list helpful, download GlobalGiving’s full crowdfunding guide — inside you’ll find a crowdfunding comparison chart that you can print and fill out.
