Crowdfunding has become an easy way to support medical bills, charitable causes, or take care of unexpected expenses.
There are numerous crowdfunding platforms that are available today which promise to help you raise the funds you need. Two of the most popular crowdfunding sites are Fundly and GoFundMe.
When comparing Fundly vs GoFundMe, there is one clear difference that stands out before any other. With Fundly, the crowdfunding website allows individuals and organizations an opportunity to raise money for about any cause.
With GoFundMe, only personal fundraising is permitted on the platform, though groups and teams are permitted to raise funds together. That means you’ll find numerous personal appeals for raising money that involve special projects, charitable needs, and medical bills.
Are you wondering which crowdfunding site might be right for you? Then here are some of the features, pros and cons, and costs you can expect when using them.
Feature Comparison: Fundly vs GoFundMe
Fundly is designed to help you be able to tell your story in a way that connects with donors on a personal level. To make that happen, the following features are available to campaign organizers on this crowdfunding platform.
- Photos and videos are displayed front and center on each campaign page.
- Content can be added from Vimeo, Facebook, and YouTube to create interactive slideshows.
- Facebook OpenGraph integration allows for zero-click sharing of the campaign.
- An activity feed allows you to see who supports, donates, comments, or likes the campaign.
- Secure payment processing is included on both web and mobile. There is no minimum amount to raise to keep the funds that were donated.
GoFundMe is designed to provide you with easy access to the funds that are raised while keeping each page simple and personalized to share your story in just minutes.
- Many organizers live in regions where a 0% platform fee is available to them, which allows for even more money to be raised for a good cause.
- 24/7 customer service is available through the platform to troubleshoot issues whenever they arise with you.
- A donor protection guarantee is included with the fundraising process.
- You have access to a mobile app that will help organizers launch, and then manage, their campaign wherever they happen to be.
- There are no time limits or deadlines that are associated with your campaign. It remains live until the organizer chooses to turn off donations or remove the campaign.
Pros and Cons of Fundly and GoFundMe
If you’re thinking about using Fundly for your crowdfunding needs, then here are some of the advantages and disadvantages of the platform to expect.
Pro: It offers a simple interface where you can manage of all your campaigns in some simple spot. This makes it easier to create a campaign on a whim to encourage family and friends to start donating funds when needed.
Pro: You can easily tell your story when working with Fundly, creating content that is relatable to people who come to your page. That gives you more power in the UX of the page, encouraging people to donate because of the empathy you’re able to generate.
Con: Fundly is going to take a cut of whatever money that is raised to take care of their administrative expenses. Although many crowdfunding platforms do this at a similar percentage, there are some that do not. If you’re trying to raise money for individual expenses, every little bit matters at withdrawal.
Con: If you’re raising money for a charitable cause, a donation through Fundly may not give individual donors a potential tax benefit like a direct donation would. With tax law changes raising the standard deductible in the U.S., much of this negative has been negated in 2018, but it could still apply to larger donations.
For those who are looking at GoFundMe as a potential option for fundraising activities, here are some of the key pros and cons to look at with this platform.
Pro: For many campaign organizers, GoFundMe is free. There is no platform free for most users as of October 2018. Although there are credit card processing fees, those who donate have the option to pay for them during their payment. The platform runs on donations only, never taking a cut out of the money that you raise.
Pro: You are able to create a campaign in just minutes with the UX built into the platform. That means you can start raising money immediately. Sharing options allow you to spread word about your campaign quickly as well, giving you opportunities to go viral.
Con: In the United States, using GoFundMe requires you to submit your Social Security number for tax reporting purposes. Any time you’re asked to supply your SSN, you are placing your identity at-risk of a potential data breach. Many crowdfunding platforms have this or a similar requirement, however, so it is more of a general negative than a specific one.
Con: Withdrawing the money can be complicated. There is the “standard” method that goes straight to your bank account. If you decide to setup a campaign through PayPal Giving or Stripe, each method is a little different. Even in their troubleshooting guide, GoFundMe says that if you don’t see specific options, you’ll need to talk to their customer service before getting your money.
Costs of Using Fundly and GoFundMe
With Fundly, the pricing structure is very simple. You’ll pay a platform fee of 4.9% on the total amount that is raised during the campaign. There is also a credit card processing fee of 2.9%, plus $0.30 per each transaction that is processed. In the UK, the processing fees are 2.4% + 20p, while in Australia it is 1.75% + $0.30 per transaction.
GoFundMe deducts fees in real time, which mean beneficiaries or organizers never pay anything. Donors aren’t charged fees over their donation amount. The fees are simply deducted from the donation before being made available to the campaign. Many countries have a 0% platform fee on this platform, while the credit card processing fees are similar to what Fundly charges.
Fundly vs GoFundMe: Which is Better?
If you’re raising money from an individual or group-based perspective, then GoFundMe is the natural solution. You’ll have fewer fees, a similar page setup, and the ability to share content on social networks about your need.
For organizations, or for individuals with a strong Facebook presence, Fundly might be a better option. Although the costs are higher, your story is presented in a way that is unique to all of the major crowdfunding platforms available today.
Evaluate the specific strengths and weaknesses of each that you face, and you’ll be able to decide which makes sense for you.