Recently cultural organizations such as Nocturne, the Centre for Art Tapes, Fuller Lectures etc. begin “Crowdfunding” Campaigns to fund raise in support of their artistic endeavors. Below is some information on popular online crowdfunding tools.
Let us know what you think about online crowdfunding – is it a great new tool for small organizations to get something off the ground, or does it pool from those that the fundraising is trying to support? Leave us a comment below.
Kickstarter is focused on helping creative projects come to life through crowd funding. These projects must convey a distinct beginning and end, as it is not a place for “soliciting donations to causes, charity projects or general business expenses.” Kickstarter utilizes an all-or-nothing funding method, where projects must meet their funding goal before their time expires or no money is exchanged. This ensures that artists are not forced to complete a project without sufficient funding, and users do not waste their dollars on projects that may go unfinished.
Unfortunately for Canada’s artistic folk, Kickstarter uses Amazon payments to distribute funds. Thus, one must be a U.S. citizen with a U.S. address (or open a U.S. bank account and P.O. Box). Luckily a new site has come to the rescue, Indiegogo. Like Kickstarter, Indiegogo believes that “everyone should have the opportunity to raise money.” Indiegogo though, puts its money (and payment options) where its mouth is. The site uses PayPal for all financial dealings. Thus, anyone in any country (with a valid bank account) can use the site to fund his or her creative projects. That is another way that this site differs from Kickstarter, its definition of “project”. Indiegogo allows people to use their services to fund all types of campaigns, including for-profit ventures, creative ideas or personal needs. The site gives those pitching their project the choice to keep the money raised (even if they don’t meet their initial goal) or choose fixed funding (to keep the money only if the goal reached). Canucks have already started to utilize indiegogo for homegrown projects, such as the Ceramic Decals a-go-go and Made You Look Robbery fundraisers. Check out these projects and see if Indiegogo is an appropriate tool for your use!
Also, many organizations like Nocturne have started online crowdsourcing independently of these sites using paypal.