What To Know Before You Crowdfund
What To Know Before You Crowdfund?
Crowdfund: You have a cause that’s been on your heart. Maybe it’s a family emergency, special project or charity you’re involved with, but it’s going to require money to help, more than the bank account will allow. You’ve heard about online fundraising, or crowdfunding, and know that it can be a successful avenue to take, but you don’t know where to get started or what it entails. What should you know before you get started crowdfunding? That’s where Wonderwe comes in.
WonderWe makes it quick and easy to get your fundraising campaign started and answers any questions you may have with their easy-to-use website.
What is crowdfunding, anyway?
Well, it’s a way to raise money for a cause through the generosity of a large group of people only social media can provide with a larger reach. WonderWe features crowdfunding focused on traditional values involving “faith, family and friends.”
Who is it for?
Individuals, nonprofit organizations, churches, schools and groups with a special cause or milestone.
How do I get started?
At WonderWe, signing up is free and all you do is click on “Start a fundraiser” to answer some questions about what you’re raising money for. Set a financial goal and timeline. WonderWe will screen your campaign as well as verify nonprofit organizations. You’ll then be asked to set up an account with Stripe, the third-party processing company used, to be able to transfer funds to your bank account. Then you’re ready to go live. Share your campaign via Facebook, Twitter and email and watch it spread.
How can I have a successful campaign?
To help the success of your fundraiser, you can add pictures, video and links to a website to really enhance the look of your campaign. Campaigns with compelling videos and great pictures have proven to be more successful than those without. Give social media updates to your supporters and potential donors. It increases the opportunity for donations and keeps supporters in the know. Utilize WonderWe’s key features like the peer-to-peer which allows supporters of your cause to start their own mini campaigns within the main campaign. This can raise the potential of donors and monies raised exponentially. Setting a deadline for your campaign also has its benefits as it is common to see an influx of donations at the start and when a campaign is nearing the end.
When do I receive donations?
Donations received can be deposited to your bank account daily, if you choose, or weekly and monthly. There are no fees to raise funds through WonderWe for individual campaigns except a standard credit card processing fee of 2.9% plus 30 cents, unlike other crowdfund sites which can charge five percent or more in platform fees. WonderWe’s mission is to be a tool for social good and does not pass along overhead expenses to users.
Will I have to pay taxes on the money I raise?
Most likely, no. The IRS looks at crowdfunding donations as a gift if the donor does not receive anything in return. Gift tax rules would apply. There are always exceptions to the rules, however, so depending on what the money is being raised for, it may be best to check with a tax professional first.
Donations are tax deductible for donors only if it is going to a registered 501(c) (3) nonprofit organization. They are not tax deductible if going to an individual’s campaign. Donors are asked to give an optional donation to help support WonderWe. This helps keep the fundraising free for campaign organizers.
WonderWe’s support team can help if any issues do arise with setting up your campaign, so there’s really nothing to hold you back from jumping into the crowdfunding arena. Visit www.WonderWe.com to start your fundraising campaign today and see what a big difference crowdfund can make.
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