Barack Obama raised $137m during his campaign for US presidency by using crowdfunding. This method of fundraising is increasing in popularity in the voluntary sector, and many experts believe that it could provide an excellent source of finance for charities.
Sites such as Buzzbnk, Solar Schools and Peoplefund.it allow organisations to raise money for a project online, through multiple donations or loans, from a number of donors, over a short period of time. This allows for more flexibility when donating and offers social loan options.
Success stories include Cancer Research UK, which raised more than £1m through its My Projects platform – a site that allows donors to choose which particular research project they want to give to – and The Bicycle Academy, which raised £40,000.
However, charities need to ensure that they have a proper strategy in place in order for crowdfunding to be effective: “the [projects that] fail, fail very badly – they raise very, very little” Theresa Burton, chief executive and co-founder of Buzzbnk, has said.
With that in mind, our Q&A will cover:
• Whether crowdfunding could work for your charity or campaign.
If you’d like to be on the expert panel, please contact Abby Young-Powell. [email@example.com]
• The potential pitfalls.
• The different approaches to consider.
Source Guardian – Abby Young-Powell