Crowdfunder's Fees

Date of posting: 06/10/2020

The following sets out our fee structures across our various services. 

We’ve put together a simple guide to help identify what type of service will best suit your funding needs and therefore the applicable fees.

What best describes you?

What are the fees?

Crowdfunder Fee

Crowdfunder's mission is to tackle society's challenges through crowdfunding and our variable fees model helps us to achieve this. 

This means the fees applied to your project will depend on the type of fundraiser you’ve set up. Any fee we do charge helps us to improve our website for our community by adding new features that give people the best possible chance of making their ideas happen. It also helps us to increase our performance so that we provide the best possible platform for crowdfunding your great ideas. 

Transaction Fee

Crowdfunder charges a payment processing fee of 1.67% on the amount you raise, plus 25p and VAT on each pledge made. This does not apply if you are fundraising for a charity or have set up a fundraiser as a direct consequence of COVID-19. The fee is 3.25%, plus 25p and VAT on each pledge if using a non-UK or non-EU card (for example, pledging from the US).

Types of Crowdfunding Projects

Standard Crowdfunding Projects with Rewards & Donations (including projects set up by a charity)

Crowdfunder Fee: 3% + VAT

Transaction Fee: 1.67% + 25p + VAT on UK/EU cards / 3.23% + 25p + VAT on non-UK/EU cards

COVID-19 UPDATE: We are currently waiving all fees (Crowdfunder and transaction fees) for projects that are fundraising as a consequence of the coronavirus pandemic. Please see the section below on crowdfunding in response to COVID-19. 

Projects on Crowdfunder come in all shapes and sizes. Whether you’re working alone or as part of a charity, social enterprise, start-up or non-profit community group, this could be the right route for you.

If you’re a charity and want to set up a fundraiser to support your own project - such as raising money to build a drop-in centre - the above fees apply.  

These fees do not apply to the Special Fundraisers listed below or elsewhere on the site.

Special Fundraisers

Raising Funds for a Charity already registered with Crowdfunder

Crowdfunder Fee: Zero

Transaction Fee: Zero

We do not charge fees if you are creating a fundraiser to raise money for a charity - eg: running a marathon or shaving your head (amongst a million other things!). This means that 100% of what you raise goes directly to your chosen charity - including all Gift Aid (where applicable). 

We do not charge any fees for individuals who set up their project using our ‘Charity Fundraiser’ service. Instead, we give your supporters the option to donate a little extra to invest in our platform and allow us to offer this service at no cost to the recipient charities. Crowdfunder has over 20,000 registered charities active on our platform which means anyone can choose the charity that means the most to them and get a fundraiser set up in minutes. 

The charity you’re fundraising for must be registered in the UK with the Charity Commission and also specifically with The Charities Trust on its database at the time you start your fundraising project. Check this here.

For charities: If you are a charity and want to accept 100% free donations directly from fundraisers and direct donors then please start by checking if you are already registered with Charities Trust and therefore on our system already. Start here for that service

Crowdfunding in Response to COVID-19

Crowdfunder Fee: Zero

Transaction Fee: Zero

Crowdfunder is committed to doing everything we can to help people through this crisis. 

If your project is raising money as a direct response to the COVID-19 crisis we will not charge platform or transaction fees. This makes Crowdfunder 100% free for any project (be that a business or a charity) raising money in response to the coronavirus pandemic. We still include the option for supporters to leave a little extra when they pledge. It’s through these voluntary tips that we can further invest in our service to make Crowdfunder the best possible platform for crowdfunding great ideas.

Fundraising for a Personal Cause

Crowdfunder Fee: Zero

Transaction Fee: 1.67% + 25p + VAT on UK/EU cards / 3.25% + 25p + VAT on non-UK/EU cards

Crowdfunder is committed to doing everything we can to help people through this crisis. 

More and more people are turning to Crowdfunder to quickly raise money for good - but maybe unexpected - personal causes. Things such as medical, funeral, education or veterinary bills are a good example of personal crowdfunding projects. You will need to register your bank account with us so we can transfer funds directly to you when your project closes. We don’t charge a platform fee for Personal Cause projects, instead we offer your supporters the option to voluntarily donate a little extra when they pledge.

These fees do not apply to any projects that directly or indirectly relate to legal, regulatory or similar proceedings - see above fees for Standard Projects.

Big Impact Crowdfunding

Crowdfunder Fee: 3% + VAT

Transaction Fee: 1.67% + 25p + VAT on UK/EU cards / 3.25% + 25p + VAT on non-UK/EU cards

If you’re looking to make a BIG IMPACT through crowdfunding and you need more than £50,000 to make your idea happen then get in touch. We’re invested in your success so we will assign one of our expert coaches to support your project. These kinds of projects will be subject to the standard Crowdfunder fees. Your supporters will also have an option to leave an extra donation when they pledge, which we will invest back into our mission to make great ideas happen across the UK.

Projects with Community Shares

Crowdfunder Fee: 3% + VAT

Transaction Fee: 1.67% + 25p + VAT on UK/EU cards / 3.25% + 25p + VAT on non-UK/EU cards

If you’re running a project which requires your community to purchase shares we will help you get everything you need, including the support of partners to help you along the way. We’re invested in your success so we will assign one of our expert coaches to support your project. These kinds of projects will be subject to the standard Crowdfunder fees, but your supporters will also have an option to leave an extra donation when they pledge, which we will invest back into our mission to make great ideas happen across the UK.

For more information regarding Community Shares, please see Section C of our Terms of Use

+Extra Funding

A fee of 5% + VAT will apply to any +Extra Funding you receive from our partners, unless we notify you otherwise. Pledges from our +Extra Funding partners are not subject to Crowdfunder Fees or Transaction Fees.

For more information regarding +Extra Funding, please see Section B of our Terms of Use.

Fees Example

If you launch a Standard Project and someone pledges £100 on your project:

• Crowdfunder’s fee is 3% + VAT (£3.60 inc VAT)

• Transaction fee for payment processing is £1.67 + 25p

• VAT is also added to the transaction fee at 38p

When pledges are made on non-UK/EU cards (such as a pledge from the US ), the payment provider’s fee would be 3.25% plus 25p + VAT on each pledge.

A total of £7.80 would therefore be taken for a pledge of £100 made using a non-UK/EU card, and you would receive £92.20.

What are the different funding options available?

There are two different funding methods for rewards crowdfunding and Big Impact crowdfunding projects:

All or Nothing - You will only receive your pledges if you hit your project target. This is best suited to projects that need to reach a set target in order to deliver their aims.

Keep What You Raise - You will keep all your pledges, whether your project hits your target or not.

‘All or Nothing’ projects generally raise more money but you do have to hit your target. ‘Keep What You Raise’ means you’ll keep all the money pledged by your supporters, but you’ll also have to fulfil all rewards no matter how much or how little is pledged.

When will the money arrive?

You (or the charity you are fundraising for) will receive the pledge payments once the project has closed successfully. With ‘All or Nothing’ funding, a project is only successful if it hits its target. All ‘Keep What You Raise’ projects that raise any funds are considered successful. 

Project supporters will be charged at the time of making their pledge and the funds will be transferred to you (or the charity you are fundraising for) once the project closes successfully. Payments will reach the specified bank account within 7 working days after the project has closed. 

Please note that the funds will only be transferred once your ID has been verified against your bank account details. You can check if your ID has been successfully verified in your project dashboard.

What happens if I don't reach my project target?

All or Nothing – If you don't hit your project target, the money pledged will be refunded to your supporters. Your supporters will be notified by email that the project has not reached its target and they will therefore be refunded. You will not be charged any fees if an 'All or Nothing' project does not reach its target.

Keep What You Raise – You will receive any funds pledged on your project regardless of whether you reach your target or not. Your supporters will receive an email informing them when the project has closed.

How long can I run my project for?

Projects can run for a maximum of 8 weeks (56 days), but we believe the optimal duration for a crowdfunding project is 4 weeks (28 days). There is always a spike of activity at the beginning and end of a project, so keeping your fundraiser relatively short allows you to maintain fundraising momentum.

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