6 Best Crowdfunding Platforms

Stuck on which crowdfunding platform to use? Learn which website will work best for your business.

Colorful illustration of dollar sign displayed on a laptop screen
November 9, 2022
EZ Texting
Share: Facebook LinkedIn Twitter Email
Reading time about 6 min

Money isn’t everything, but it sure does help when it comes to getting your company up and running. Raising capital for your new venture is an exciting step in the life of your business — whether you’re an artist, a nonprofit founder, a tech startup owner, or anything in between. To get the most out of your fundraisers, we’ve compiled a list of some of the best crowdfunding platforms that can help your business grow.

Indiegogo logo

#1

Indiegogo: Best Overall

Indiegogo is a great option for small businesses looking to raise money because it offers flexible funding options (as opposed to Kickstarter’s fixed funding). The crowdfunding platform generally caters to artistic ventures — whether its tech, film, architecture, or another type of independent project.

  • Fees: 5% platform fee. Payment processing fees are 3% + $0.30.
  • Social promotion: Indiegogo does have a marketing workbook with tips on boosting your campaign; however, it doesn’t facilitate many app integrations.
  • Accessing funds: Pick from one of two funding options: fixed or flexible. Fixed funding means that you have to reach your financial goal before accessing the money. With flexible funding, you can still access funds even if you don’t make your goal.
  • Customer support: Beyond good customer service, Indiegogo helps business owners build a community, even after the fundraiser is over. It offers various guides about planning, creating, and running campaigns to set each campaign up for success.
  • Popularity/awareness: Indiegogo is one of the most popular crowdfunding sites out there, especially endeavors geared toward the artistic, or indie crowd.

iFundWomen logo

#2

iFundWomen: Best for Women-Owned Businesses

Founded in 2016, iFundWomen focuses on closing the gap between the number of women-owned startups and the amount of funding available (which, according to the crowdfunding platform, is a pain point among female founders).

  • Fees: 5% platform fee, but there is no charge until you start raising money. Payment processing fees are 2.9% + $0.30 per payment.
  • Social promotion: Your social platforms can be linked from your campaign page, and donors can share your fundraiser on their own platforms.
  • Accessing funds: Keep what you raise.
  • Customer support: One of the best features of iFundWomen is its support of female business owners. It offers campaign advice, crowdfunding guides, coaching services, workshops, Slack groups, and more.
  • Popularity/awareness: iFundWomen is a lesser-known crowdfunding site, and it’s difficult to find user reviews online. While you may have a better chance at raising funding with a more focused donor base, the lack of popularity may be a downside.

FundBLACKFounders logo

#3

FundBLACKFounders: Best for Black-Owned Businesses

The mission of FundBLACKFounders is, “disrupt dreams deferred due to a lack of funding.” FundBLACKFounders facilitates rewards-based crowdfunding campaigns for Black-owned startups, making it one of the best crowdfunding platforms for Black entrepreneurs.

  • Fees: 5% platform fee, which is deducted from the funds you raise — not the funding goal. Payment processing fees are 2.9% + $0.30 per payment.
  • Social promotion: Each campaign page links to a website and preferred social platforms.
  • Accessing funds: Keep what you raise.
  • Customer support: Customer service options seem scarce, and the FAQ page generally directs issues to the campaign founder.
  • Popularity/awareness: What FundBLACKFounders lacks in popularity it makes up for in its safe, culturally relevant community of investors.

Givebutter logo

#4

Givebutter: Best for Nonprofits

It’s important for nonprofit organizations to have a crowdfunding option that doesn’t cost a dime. With Givebutter, that’s a reality. It provides a 100% free platform through donor tipping, so as long as you keep “optional tips” toggled on, your campaign is completely free. You’ll get access to a free CRM system to track contacts and donations.

  • Fees: Free for campaigns with “optional tips.” If that feature is turned off, platform fees range from 1 to 5%. Payment processing fees are 2.9% + $0.30.
  • Social promotion: Integrate Givebutter with your website and enable one-click and automated sharing to your social media accounts.
  • Accessing funds: Keep what you raise.
  • Customer support: The Givebutter customer success team is helpful, offering chat-based, email, and even phone support.
  • Popularity/awareness: While Givebutter might not be known as a powerhouse like Mightycause, it’s gaining traction in the crowdfunding space for its suite of features and ease of use.

SeedInvest logo

#5

SeedInvest: Best for High-Growth Startups

SeedInvest is one of the best crowdfunding websites for high-growth startups. While it does vet every business, the minimum requirements are a, “viable product or prototype, at least two full-time employees, and a compelling business model.” So, essentially they are seeking companies that have a fantastic idea paired with a strong business model and growth potential.

  • Fees: Every business that applies pays for SeedInvest to hire a CPA to review financial documents (some fees may be reimbursed later). There is 7.5% cash fee and a 5% convertible note or equity fee on the amount of funding you raise.
  • Social promotion: There doesn’t seem to be much in the way of social platform integration; however, each campaign page includes a large amount of detail, which is probably what most serious investors are looking for.
  • Accessing funds: Once the goal is met, you have access.
  • Customer support: Some reviews from BestCompany and Trustpilot note that the SeedInvest’s customer service is lacking.
  • Popularity/awareness: SeedInvest is a popular equity crowdfunding platform for tech startups in various industries because it allows non-accredited investors to participate.

Patreon logo

#6

Patreon: Best for Creatives

Are you a musician, blogger, podcast host, YouTube personality, or any artist for that matter? Patreon is the best crowdfunding platform for creators. Patreon is a membership program, where your patrons pay monthly or per product or release.

  • Fees: Three plans that deduct a percentage of your monthly income. Payment processing fees are 2.9% + $0.30.
  • Social promotion: Includes one-click switch between your Patreon page and social media pages. Your patrons can easily share your Patreon page on their socials, too.
  • Accessing funds: You can access money any time you get paid.
  • Customer support: If your patrons have questions, you don’t need to answer them — that’s customer service’s job.
  • Popularity/awareness: Patreon is one of the best sites for creators to share their work exclusively with members, raising money along the way, so it’s no surprise that it’s widely used in the artistic space.

Whichever crowdfunding platform you choose, make sure to effectively message the purpose of your fundraiser and be consistent across touchpoints. That includes text messaging. With EZ Texting, you can easily promote your fundraiser to your contact list. We know you’re in the process of raising money, so we offer flexible pricing for your needs. Get started for free today.

Share: Facebook LinkedIn Twitter Email

See other resources related to:

Join the 210,000+ customers who have used SMS marketing to connect with their audiences.