Crowdfunding website like kickstarter

Types of crowdfunding platforms

Peer-to-peer loans

Peer-to-peer loans, also known as peer-to-peer lending or crowdfunding, represent a decentralized approach to borrowing and lending money. In this financial model, individuals or businesses seeking funds are connected directly with potential lenders through online platforms, bypassing traditional financial institutions like banks.

Donation-based

Donation-based models, often associated with nonprofit organizations, rely on the generous contributions of individuals or groups to support their activities and causes.

Equity

Equity is a fundamental concept in finance and economics that represents ownership in an asset or company. It is often used to describe the value that remains in a business after all its debts and obligations have been paid off, commonly referred to as shareholders’ equity.

Reward-based

Reward-based systems are a fundamental aspect of human psychology and motivation, operating on the principle that individuals are more likely to engage in a behavior if they anticipate a positive outcome or reinforcement.

Profit sharing

Profit sharing is a compensation model employed by many businesses, where a portion of the company’s profits is distributed among its employees based on predetermined criteria. This approach incentivizes employees to work collectively towards the organization’s success, as their earnings are directly tied to the company’s financial performance.

7 Crowdfunding platforms

Kickstarter is one of the most popular and well-established crowdfunding platforms globally. It allows creators to raise funds for a wide range of creative projects, including technology gadgets, art installations, films, and more.

Kickstarter

The platform operates on a pledge-based model, where backers contribute funds to support a project’s development in exchange for rewards or products once the project reaches its funding goal.

Indiegogo

Indiegogo is a prominent crowdfunding platform that has been instrumental in enabling creative projects, startups, and social causes to secure financial backing from a global community of supporters.

Patreon

This model empowers creators to pursue their passions and projects without solely relying on advertising or traditional funding sources, fostering a more intimate and reciprocal relationship between creators and their audience.

Fundable

Fundable is a crowdfunding platform that empowers entrepreneurs, startups, and small businesses to raise capital for their innovative ideas and projects. Whether you’re launching a new product, expanding your business, or seeking support for a creative endeavor, Fundable provides a user-friendly platform to connect with potential investors and backers.

Gofundme

GoFundMe is a popular crowdfunding platform that empowers individuals and organizations to raise funds for a wide range of causes and initiatives. Whether it’s supporting medical expenses, disaster relief efforts, creative projects, or charitable endeavors, GoFundMe provides a user-friendly platform for campaigners to share their stories.

Fundly

Fundly is a popular crowdfunding platform that empowers individuals, organizations, and nonprofits to raise funds for various causes and projects. Whether it’s launching a creative endeavor, supporting a charitable mission, or covering personal expenses, Fundly provides a user-friendly and customizable platform for fundraising campaigns.

Conclusion

Different crowdfunding platforms may offer different rules for campaigns and backers, but in today’s blog post we’ve decided to focus on the very first and best crowdfunding website Kickstarter to focus on the middle ground between sponsorship and commerce, so that people can offer their creative ideas in exchange for support from backers.