Comparison of crowd funding services

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Crowdfunding (alternately: crowd funding, crowd financing, equity crowdfunding) is a process in which individuals pool money and other resources to fund projects initiated by other people or organizations. Crowdfunded projects may include creative works, products, nonprofit organizations, or donations for a specific purpose (e.g., to pay for a medical procedure). Crowdfunding usually takes place via an online portal that handles the financial transactions involved, and may also provide services such as media hosting, social networking, and facilitating contact with contributors.

Funding models[edit]

Crowd funding is donation-based fundraising for businesses or creative projects, typically via an online funding portal. Some but not all crowdfunding projects offer contributors rewards, which may differ based on the amount of money donated. Rewards can include copies of a creative work, products created with the funding, special or personalized incentives (such as autographed works or swag), or public recognition.

In equity crowdfunding, a crowdfunding approach is used to raise investment capital and contributors receive equity in the resulting business. Contributors may act as investors and receive shares directly, or the crowdfunding service may act as a nominated agent.[1]

Money for goods[edit]

There are three basic models provided for – some sites offer a choice between them:

NameFunding
model
FocusCountryNotes
ArtistShareKiAMusiciansUSHas own record label.
BountysourceBounty or KiAOpen-source softwareUSBounties are attached to GitHub issues. Anyone can collect the bounty by submitting a pull request that resolves the issue.
CatincanAoNOpen-source softwareExisting project developers put features up for funding that will be integrated into main branch.
CentUpKiAOngoing transactions and Social ImpactUSDecentralized crowdfunding linked to specific pieces of content.
CommonBondKiAStudent loansUSFunded by crowdsourcing and large investors.
Community FundedKiA or AoNPlatform Creation for Universities, Nonprofits, and Faith-Based OrganizationsUSAllows for white-labeled integration on existing websites
DonorsChooseAoNEducation crowdfunding for school suppliesUS
First FunderKiA or AoNCommunity basedUS
FundAnythingKiAFunding for any kind of project - business, creative, arts, personal, charitable.USFundraising backed by major celebrities such as Donald Trump.
FundedByMeAoNEquity and rewardsSweden, Finland, Norway, Italy, Germany, DenmarkOnly platform offering equity and reward based crowdfunding in combination with European-wide cross-border investments.
FundRazrKiAPersonal, charitable, entrepreneurial, and political causesCanadaAvailable as an app for a Facebook page.
FundlyKiAPersonal, charitable, and political causesUSAvailable as an app for a Facebook page. Charges a per credit card transaction fee.
GiveForwardKiAOnline fundraising website to raise money for medical expenses.USProvides personal fundraising coaches.
GoFundMeKiAHelping people after
accidents and illnesses
US
HeadstartAoNEntrepreneursIsrael
IndiegogoKiA or AoNAllows a broad range of projectsUS
KickstarterAoNCreative projectsUS, UK, Canada, Australia, New ZealandHighest funded projects to date
LendicoAoNConsumer loanGermany, Austria, Poland, Spain, South AfricaFunded by crowdfunding and institutional investors.
MicroryzaAoNFund scientific researchUSNo tangible awards are given for backing, only personal satisfaction
MobcasterAoNTV showsUS
MyfreeimplantsAoNCosmetic surgeryUSFocused on breast augmentations. International
OffbeatrAoNPornographyUSProjects must first get enough votes from users before they are open for funding
OzCrowd[2][3][4] [5]KiA or AoNPersonal, Business or CharityAustraliaPersonal service for each campaign
Peoplefund.itAoNUKAttached to Hugh Fearnley-Whittingstall
Petridish.orgAoNScientific researchUS
PiggybackrKiAYoung children and studentsUSYoung students may raise money. Compliant with Children's Online Privacy Protection Act
Planeta.ruAoN or KiAAllows a broad range of projectsRussia
PledgeMusicAoNMusiciansSpain, UK, US
PozibleAoNCreativeAustralia, Singapore, Malaysia, USBitcoin can be used, Self-hosting can be used, One-on-One help
Pubslush[6][7][8][9][10][11][12][13][14]AoNLiterary projectsWorldwideProjects have minimum goals that must be met for funding, as well as an overall need goal
Rally.orgKiAMedical, educational, charitable, creative, entrepreneurial, and political causesUS, Germany
RocketHubKiAUS
SellabandAoNMusiciansGermany
SponsumeKiAUK
Tilt.comKiA or AoNAny goalUSOffers both a consumer product and enterprise solution for brands.
YouCaringKiAHelping people with
medical issues and life changing causes
US
WeeveKiANonprofitsCanadaSite operates "freemium" model without transaction fees

Money for business ventures[edit]

Crowd funding can be used to raise capital (equity) or borrow money. While organized informally, they typically involve large numbers of small investors or lenders:

NameFunding
model
FocusCountryNotes
Angels DenEquity, Debt, DonationsAll businessesUK
AngelListEquity, DebtStart-upsUSCurrently serves accredited investors
BankToTheFutureEquity, Debt, Rewardssmall businesses and new start-upsUK
BolstrRevenue shareSmall businessesUSAble to operate now, pre-JOBS Act
CircleUpEquityConsumer products and retailUSCurrently serves only accredited investors.
CompanistoEquityEuropean companies, Investors from all over the worldGermany, Switzerland / Europe
CrowdCubeEquity, Rewardsstart-ups, small businesses, growing businessesUK
EarlySharesEquityUS
EquityNetEquity, DebtStartups and mature companiesUSLaunched crowdfunding platform for Reg D offerings in 2005
FundableEquity, Debt, RewardsSeed stage businessesUS
FundedByMeEquity, RewardsEntrepreneursSweden, Finland, Norway, Italy, Germany, Denmark
FundersClubEquityStart-upsUSCurrently serves accredited investors
Funding CircleDebtSmall businessesUK
GambitiousEquityGame developmentNetherlands
GoFundMeEquityStart-up, Non-profit, PersonalUSA
Innovestment GmbHEquity auctionsGermany
InvesdorEquityStartups and growth companiesFinland, Sweden, Denmark and Estonia
InvestedInEquityUSA
KopernikOther3rd world issues
Lending ClubDebtUSA
LendInvestDebtProperty Development Entrepreneurs/ MortgagesUKFirst live peer-to-peer lending platform specifically for residential and commercial mortgages
MicroVenturesEquityTech Startups & High GrowthUSCurrently open to Accredited Investors
Optimize Capital MarketsEquityCanada
OurCrowdEquityIsrael
Prosper MarketplaceDebtUSA
rebuildingsociety.comDebtAll businessesUK
Return on ChangeEquityEarly and growth stage startups in critical industriesUSA
Rock The PostEquityEarly stage tech-startupsUSA
SecondMarketEquity, DebtLate stage start-ups and privately held companies at a pre-IPO or pre-acquisition stageUSA
SeedrsEquitySeed-stage businesses, Investments from £10+UK & EuropeFirst equity crowd funding platform to be approved by the FSA in the UK.
SeedupsEquityEarly stage tech-startupsUK, Ireland, USA & Canada
StartupValleyEquityTechnology start-ups and businessesUS
SymbidEquity, RewardsStart ups and business ideas, entrepreneurs, small businesses, accelerators, incubators, crowd investors, angel investorsNetherlandsResponsible for one third of the Dutch crowdfunding market in 2012[citation needed]
TenPages.comRevenue sharingBooksNetherlands
ThinCatsLoanSmall businessesUK
TubeStartEquityVideo productionUS
UnboundPerqsBooksUKActs as both a crowdfunding platform and a publisher. Launched Terry Jones' Evil Machines, the first[citation needed] book to be financed by crowd funding.
UpstartDebtLoans for recent college graduatesUSA
WahoolyEquity
WefunderEquityStartupsUS
ZopaDebtsUK

Continuous funding[edit]

Some services allow for a continuous funding model as opposed to a one-time donation. These tend to apply to, but are not limited to, art projects such as music, YouTube videos, podcasts, web-comics, etc. — anyone who makes content on a regular basis. They differ mainly in the frequency in which payments are charged to the funders.

NameFrequencyFocusNotes
PatreonEvery time new content is releasedMusicians, Podcasts, Vloggers, Youtubers, WebcomicsSubscribing to a project allows to view and post on its content stream. Patreon allows to set a monthly maximum to avoid going over a set budget.

Post-creation services[edit]

Some services invite people to award creators after they already published their work.

NameMethodFocusNotes
FlattrFlattr button display along the contentContent creators
Unglue.itContributing to making books open accessBooks

See also[edit]

References[edit]