- Model type
- Fund type
- Maximum allowed raise
- Administrative work options
Indiegogo uses a Rewards model. This means donators contribute to a campaign and are offered rewards for their contributions.
Users have the option of disconnecting their Facebook profile form from their Indiegogo account if they so desire. However, Indiegogo urges users to keep their Facebook and Indiegogo accounts connected so a user's online presence is legitimized in the eyes of potential contributors who may not be comfortable funding a campaign organized by a stranger. There are also extremely user-friendly apps available for download for both iOS and Android operating systems.
Indiegogo has also added a new website for those wanting to raise funds for charity purposes called "Generosity by Indiegogo". Non-profits can run 'free' on Generosity by Indiegogo, allowing them to keep everything they raise.
A great feature of their set-up process is how no fees are required initially. Some other crowdfunding companies, on the other hand, may charge fees during the set-up process or platform fees. The fact that they do not charge any of these fees, coupled with their effective online campaign editor tools, make their set-up process a convenient and stress-free task.
While other crowdfunding platforms may complicate fee structures, Indiegogo has gone the simple and easy-to-understand route: Whether you choose either a Flexible or Fixed Funding type, a 5% fee will be charged once you have reached your goal. There are also transaction fees of 3% plus 30 cents for a credit card transaction, 3-5% for Paypal, or a $25 charge for wire fees.
If you don't reach your goal, only flexible funding types will be charged the 5%. Fixed funding refunds all money donated and there is no fee.
Indiegogo offers what they call Flexible funding, where you can choose either 'Keep what you Raised' or 'All or Nothing' funding types. Flexible Funding means you keep all the money you raise, regardless of your goal; Fixed Funding means you have a specific funding goal that must be met, which can be a good choice for technology and products that require set funding to enter production.
Maximum Allowed Raise
There is no maximum amount of funds that you can raise, but Indiegogo recommends breaking very large funding goals into several series of campaigns. This may or may not be best for your situation, so having the option to do as you choose is a good crowdfunding feature.
Administrative Work Options
For everyday fundraisers needing help along the way, Indiegogo will answer questions and give you pointers on your campaign via email. They pride themselves on being able to contact customers in search of information within 24 hours. This is an incredibly fast turnaround time for a customer service department in a number of industries, especially crowdfunding. They also have online articles covering tips on how to run and contribute to a campaign.
One thing that sets them apart from other crowdfunding companies is the data driven insight they provide for their users. Especially since crowdfunding is a relatively new idea, it is extremely helpful for organizers to have access to important tips-such as which days to launch a campaign and what the ideal campaign length is-so they can feel empowered and make the best decisions possible.
Indiegogo also offers what they call an Enterprise Program. This program is for entrepreneurs who need assistance bringing their products to market.
Through this program, Indiegogo will:
- Help you run a crowdfunding campaign to test and market a new product to early investors.
- An Innovation Challenge to source ideas and activate Indigogo's community of entrepreneurs, makers, and innovators.
- A curated, branded sponsorship program to support your campaign.
- Real-time customer feedback before investing in manufacturing
- Help entrepreneurs understand their customers by turning research from a cost into an opportunity for pre-sales and customer acquisition
- Assist you with building awareness around your brand by helping you to effectively connect with and engage customers and their networks.
Another helpful and convenient feature offered is the automatic emailing of tax-deductible receipts for donations made to a U.S. 501 (c)(3) nonprofit. Separate receipts may also be issued from the beneficiary nonprofit, depending on the organization.