The UK is the third-largest crowdfunding market in the world behind China and the US
Easyship's free crowdfunding campaign cost estimator gives you a quick idea of your costs, including shipping and fulfillment
Our all-in-one platform integrates with top campaigns sites like Kickstarter, Indiegogo, and Backerkit to help you centralize your operations and streamline the fulfillment process
These days, you needn’t satisfy steep bank requirements or know angel investors to launch a startup. Crowdfunding sites make it easy for anyone to source seed capital from the public online. Whether it’s rewards-based sites like Indiegogo or cause-based sites like JustGiving, there’s a platform to match your aims and your audience.
Easyship can help you navigate the road to success as a partner of crowdfunding sites like Kickstarter. You can use our free crowdfunding campaign cost estimator to get a quick idea of your costs, including shipping and fulfillment. This way, you’ll have full visibility of your roadmap from day 1.
Here’s a rundown of the top UK crowdfunding sites.
1. Crowdcube
Crowdcube is the world’s first equity-based crowdfunding site. It allows businesses at every stage of growth to pitch for funding online to a global audience. In exchange for funds, backers get a stake in the company in the form of equity.
Over $1 billion has been invested with Crowdcube. Though startups are welcome, most listings on Crowdcube have established UK companies seeking growth capital to expand into new markets. From professional investors to newbies, Crowdcube is open to backers of every persuasion.
Listing your business on Crowdcube is free. Just record a pitch video and make your case. You pay a 7% fee on funds raised, plus a payment processing fee of $0.75 - $1.25%.
2. Kickstarter
Launched in 2009, Kickstarter is one of the largest rewards-based crowdfunding sites in the UK and the world. The Kickstarter mission is to help people “bring their creative projects to life.”
For their support, Kickstarter backers receive whatever your campaign creates. This makes Kickstarter is popular crowdfunding site among creatives and aspiring eCommerce merchants. Kickstarter has helped launch innovative projects like an album for the hip-hop group De La Soul, children’s books, as well as innovative design products like Craighill.
Fundraising on Kickstarter follows the ‘all-or-nothing’ model. This means you have to reach your funding goal in order to receive funding. What if you come up short? Then using Kickstarter was 100% free. If your project is funded successfully, Kickstarter takes a 5% fee out of your funding total. Payment processing fees of 3 - 5% also apply.
Syndicate Room is an equity-based crowdfunding site that helps startups raise capital from angel investors and venture capitalists. Basically acting as a venture capitalist itself, Syndicate Room lists qualifying early-stage companies. Syndicate Room then works to bring other investors in on the deal.
As a crowdfunding campaign, your project is bundled with other projects. Investors then buy up these diversified bundles in hopes of striking it rich. Syndicate Room offers some compelling statistics about projected returns – target returns of £3.50 for each £1 invested – so it can be a great way to grab funding quickly.
To qualify for Syndicate Room, your business must be EIS eligible and incorporated in the UK. Syndicate Room promises to review your business within 10 days of receiving your materials. You must pay a one-time fee of 2% of the total investment, which can range from £400,000 to £5 million.
4. Indiegogo
Boasting 10+ million monthly visitors, Indiegogo is a rewards-based crowdfunding site that’s brought over 800,000 creative and entrepreneurial projects to life. Indiegogo also lets you host cause-based campaigns or fundraisers for individual and community wellness.
Indiegogo gives you two options in how you raise funds: Flexible Funding and Fixed Funding. With Flexible Funding, you keep all the money you raise, even if the goal isn't reached. Fixed Funding means that your campaign goal must be met or you forfeit the money raised back to backers.
Indiegogo takes a 5% cut of all funds raised, excepting cause-based campaigns. Depending on your location, there's also a varying payment processing fee of 2.9 - 4.4%.
As an Indigogo partner, Easyship integrates directly with your campaign so you can manage orders and shipping effortlessly from a single dashboard. Plus, you’ll save on every shipment with our pre-negotiated rates from all global and domestic couriers like USPS, DHL, and many more.
5. GoFundMe
GoFundme is a cause-based crowdfunding site that’s raised over £5 billion for social and medical causes. This site is open to both individuals and charities who want to be a force for good in their community.
GoFundme doesn't charge any setup fees. For each donation received, you pay only $0.30 plus 2.9% of the donation amount. Even if your campaign misses its target, you still get to keep and use whatever funds have been raised.
6. JustGiving
JustGiving is a cause-based fundraising site that helps people raise or donate money for charities and personal causes. Founded in 2000, JustGiving has helped raise over £4.5 billion for needful causes in 164 countries.
Popular fundraising categories include education, international aid, medical disabilities, and local community causes. In fact, over 20,000 charities, organizations, and schools use JustGiving to connect with prospective donors.
Campaign managers pay zero platform fees for donations. You pay a 1.9% transaction fee, a £20 payment processing fee, and a 5% Gift Aid processing fee. You keep whatever funds get raised even if you fall short of the campaign target.
6. Crowdfunder
Crowdfunder is a rewards-based crowdfunding site that helps entrepreneurs connect with investors around innovative ideas. Built for all types of projects, Crowdfunder also supports cause-based and equity-based crowdfunding projects.
The main advantage of using Crowdfunder is the Extra Funding feature. For qualifying projects, Crowdfuncer connects your campaign to businesses with funds available for certain causes and projects.
For example, the insurance company Aviva has vowed to match up to £50,000 in funds raised for community development in the UK. In other words, Extra Funds pairs your campaign with organizations willing to match individual donations to a certain amount.
Crowdfunder charges a 0% platform fee for charity donations, charity fundraisers, personal causes projects, and projects related to COVID-19. Rewards-based campaigns incur a 3% platform fee. All campaigns pay a transaction free of £23, plus 1.9% of the donation amount.
7. Seedrs
Seedrs is an equity-based crowdfunding platform that connects startups to seed capital from angel investors, venture capitalists, and more. So far, the site has raised over £1.1 billion from just 1,318 deals. This makes Seedrs the top-ranking crowdfunding site in terms of the value of its investments raised.
Seedrs platform fees are staggered based on funding tiers. You pay a 6% transaction fee for the first £150,000 you raise, 4% on the next £300,000 raised, and 2% for all donations raised after the £500,000 mark.
8. Funding Circle
Funding Circle is a debt-based crowdfunding site that helps small UK-based businesses get loans at affordable rates from a variety of sources. The average loan amount on Funding Circle is £60,000. That said, businesses can borrow up to £500,000 in unsecured loans and up to $1 million in secured loans.
Since its start in 2010, Funding Circle has raised over £6.2 billion for UK small businesses from 90,000 investors. If you want to use Funding Circle, you’ll pay fees depending on the type of loan and the loan terms, seen below:
Loans of 6 - 12 months: 0.9 - 4.9%
2 - 3 years: 2.9 - 6%
4 - 5 years: 4.5 - 6%
9. Fundable
Fundable is a UK crowdfunding site that helps startups and companies raise capital from the public. You can choose to run rewards- or equity-based crowdfunding campaigns. To date, Fundable has raised more than $615 million for startups.
Fundable recommends using a rewards-based campaign for consumer-facing companies with a funding goal between $1,000 - $50,000. Equity-based crowdfunding is recommended for products, services, and B2B companies with a funding goal greater than $50,000.
Fundable charges a $179 monthly fee. Each transaction incurs a processing fee of $0.30, plus 3.5% of the pledge amount.
Crowdfunding Sites Integrate With Easyship
UK crowdfunding sites come in various flavors, from donation-based to rewards-based, equity-based to debt-based. If you're looking to launch your big idea, poke around these sites to learn more about how they can help you find your best audience – and for the best price.
Easyship helps crowdfunding campaigns simplify their shipping and fulfillment. Our all-in-one platform integrates with top campaigns sites like Kickstarter, Indiegogo, and Backerkit to help you centralize your operations and streamline the fulfillment process. Plus, you’ll also save up to 91% on all shipments with our pre-negotiated courier rates.
From our list, GoFundMe has the lowest fees because it charges a 0% platform fee. You only pay a processing fee of 2.9% plus $0.030 per transaction.
Are crowdfunding sites safe? Yes, crowdfunding sites live or die based on their reputation.
How to choose the best crowdfunding site?
The crowdfunding platform you choose depends on the type of campaign you want to run and your campaign goals. That said, it is important to choose a crowdfunding platform with many success stories and low platform fees.
If you found this article valuable, you might want to check out the following:
The UK is the third-largest crowdfunding market in the world behind China and the US
Easyship's free crowdfunding campaign cost estimator gives you a quick idea of your costs, including shipping and fulfillment
Our all-in-one platform integrates with top campaigns sites like Kickstarter, Indiegogo, and Backerkit to help you centralize your operations and streamline the fulfillment process
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