How to run a prize draw on Crowdfunder in five easy steps

by Rebecca Hughes | Jun 15, 2026 | Stories

Updated June 2026

Want to find out more about running a prize draw on Crowdfunder. Here’s how in five easy steps.

Prize draws are one of the most effective ways to raise money on Crowdfunder, and one of the most fun. Instead of simply asking people to donate, you’re giving them a reason to get excited. A compelling prize, a clear cause, and a deadline create real urgency. Plus, on Crowdfunder, there are no platform fees for prize draws, which means more of every entry goes directly to your project.

This guide walks you through everything you need to know — from choosing your prize to picking your winner compliantly. Get started making a prize draw.

What is a prize draw on Crowdfunder?

A prize draw lets supporters enter for a chance to win a prize, with all proceeds going towards your fundraising target. You set the prize, the target, and the closing date. If you don’t hit your minimum target, the draw doesn’t go ahead, so there’s no risk of running it when the numbers don’t add up.

Anyone can run one. Charities, community groups, sports clubs, businesses, and individuals have all used Crowdfunder prize draws to raise thousands of pounds for causes they care about.

Step 1: Choose a prize worth entering for

The better your prize, the more entries you’ll get. Think about what your audience genuinely wants. Exclusive experiences tend to outperform physical goods because they can’t be bought anywhere else.

Ideas to get you started:

Behind-the-scenes experiences or access days
Signed artwork, kits, or limited-edition items
Vouchers from local businesses or partners
Holidays or experiences donated by supporters
Money-can’t-buy moments (a walk-on role, a studio session, a private tour)

Don’t have a prize yet? Reach out to businesses and partners who align with your cause. Many are happy to donate a prize in exchange for the visibility your campaign creates.

Step 2: Tell your story

People don’t just enter to win, they enter because they care about what you’re doing. Make that easy for them.

Your project page should answer three questions clearly:

Who are you and what are you raising money for?
Why does this matter right now?
Where will the money go?

Be specific. “We’re raising £5,000 to replace our community kitchen roof before winter” is far more compelling than “we need funds for building repairs.” Specificity builds trust, and trust drives entries.

Step 3: Set your target and entry structure

Before you go live, think carefully about your target. Crowdfunder prize draws only proceed if you hit your minimum, so set a floor that genuinely reflects what you need. You can always raise more.

On entry levels:
You can offer multiple entry tiers (e.g. one entry for £5, three entries for £10) to encourage higher contributions. Just make sure your free entry route is clearly signposted and equally accessible; this is a legal requirement (more on that below).

Step 4: Spread the word

A great prize on an empty page raises nothing. The campaigns that perform best treat the launch like a moment.

What works:

Email your existing supporters first — warm audiences convert far better than cold ones
Post consistently on social media — behind-the-scenes content, prize reveals, and countdown posts all work well
Ask people to share, not just enter — one share from the right person can unlock a whole new audience
Create urgency — a visible deadline and a progress bar do more than any copy

Check out our social media guide for more on making your channels work harder.

Step 5: Draw your winner (and make it a moment)

When your draw closes, Crowdfunder gives you a clean entry list and all the data you need at the click of a button. Use our free online prize draw winner picker.

Once you’ve picked a winner, make a thing of it. Announce it publicly, share a photo or video of the prize being delivered, and thank every single person who entered. That goodwill will pay dividends when you run your next campaign.

The legal bit: free entry routes explained

This is the part that trips people up most, so it’s worth being clear.

Under the Gambling Act 2005, a prize draw must include a genuine free entry route to avoid being classified as an illegal lottery. This isn’t optional, it’s the law.

On Crowdfunder, this means:

Your free entry route must be as accessible as your paid route
Free entrants must have an equal chance of winning
Your terms and conditions must explain how to enter for free clearly and prominently

The most common free entry route is a postal entry method; entrants can write in with their details at standard postage cost. You’ll need to include this in your T&Cs.

Crowdfunder provides a T&Cs template when you set up your prize draw, and you can find the full guidelines here. If you’re unsure about compliance, it’s worth seeking legal advice before you go live.

Looking for inspiration? Read about some of our success stories.

So what are you waiting for? Get started with your prize draw TODAY!

*Your prize draw must have a free entry route and you will need to create a set of terms and conditions for your prize draw which comply with our prize draw guidelines here. Crowdfunder is not a Promoter of individual prize draws”

Frequently asked questions

Do I need a licence to run a prize draw?
No — as long as your draw includes a genuine free entry route and complies with the Gambling Act 2005, you don’t need a Gambling Commission licence. See Crowdfunder’s prize draw guidelines for the full requirements.

What happens if I don’t hit my target?
The draw won’t go ahead and all entrants will be refunded. That’s why it’s worth setting a realistic minimum target.

Are there platform fees for prize draws?
No. Crowdfunder charges no platform fees on prize draws — one of the key advantages over running one elsewhere.

Can anyone run a prize draw on Crowdfunder?
Yes. Individuals, charities, community groups, sports clubs, and businesses can all run prize draws on the platform.

How do I pick a winner fairly?
Most organisers use a random number generator. Whatever method you use, it should be documented in your T&Cs so entrants know the draw is fair.

Can I offer more than one prize?
Yes — multiple prize tiers can increase the appeal of your draw and encourage higher entry levels.