RocketHub offers a Reward (or Goods) crowdfunding model. This feature makes them stand out from the competition in the crowdfunding market because some funding is better than no funding for new first-time fundraisers. So if you raise $10,000, you get to keep the $10,000 (after fees-see next section for details).
Detailed, simple charts are provided to assist users with designing the perfect campaign. These tools help individuals select a logical length to run their campaign—as well as provide a good idea of how much time per day their campaign will require of them. For example, organizers hoping to earn between $1,000 to $10,000 will likely need 40-200 contributors to reach that goal. RocketHub suggests 30-45 days to run the campaign with approximately 15 minutes to two hours a day for the organizer to actually manage the campaign.
RocketHub allows its fundraisers to keep what they raised. This is great for the average entrepreneur, business and individual who don’t have a lot of fundraising savvy or financial connections. So if they fall short of their specified monetary goal, they still get to keep the amount of funding they have received from campaign donors. RocketHub accepts all major credit and debit cards through an international merchant. This ensures most people who want to donate will not be hindered because they don’t have Paypal or a certain payment vehicle.
Maximum Allowed Raise
Unlike many crowdfunding sites, there is no cap or maximum amount that RocketHub will let you raise. A funding monetary goal can be as much as $100,000 or more.
In terms of campaign length, RocketHub allows fundraisers a minimum of 30 days and a maximum of 75 days to complete a campaign. This is great for those needing more time to raise campaign awareness—especially if they are raising monies in the six-figure range or higher. Some of the top crowdfunding sites only offer up to 60 days.
One unique feature RocketHub offers is the chance to receive on-air exposure on the Ovation cable network’s Creative Studio showcase, which raised over $320, 000 in crowdfunding money. With celebrity investors such as will.i.am and the i.am.angel Foundation, this cable network has committed significant funds to support RocketHub’s art and music campaigns. This is the first major television network to both fund and feature select crowdfunding projects, reaching more than 100 million homes, giving crowdfunders an incredible opportunity to receive some serious exposure.
After a campaign is completed, RocketHub’s transaction and processing fees apply, These fees are automatically deducted from the final amount.
Successful campaigns are charged a 4% commission fee plus a 4% credit card processing fee.
The non-completion fee (if someone fails to complete their campaign) is 8% of the monies raised plus a 4% credit processing fee. This is in addition to the fees for campaigns that did not reach their goal.
While the fees associated with reaching a goal with RocketHub are average, their partial fees are quite high. Most crowdfunding sites either charge a transaction fee OR processing fee—not both. Furthermore, they are one of the only crowdfunding sites to charge a partial fee at all. In the event that a user fails to meet a goal, that user will be charged an 8% commission fee + 4% payment processing fee. That’s a high price to pay in fees!
Many crowdfunding sites deliver funds more quickly than RocketHub does. With some platforms disbursing donations immediately or within 48-hours, the 5-10 day waiting period for RocketHub users is less than appealing.
RocketHub keeps the funds raised during a campaign in a separate US bank holdings account. Once the campaign ends, the money is transferred to the fundraiser through check or digital payment. RocketHub processes payments on the first Friday following the completion of each project, taking on average 5 to 10 business days for you to receive your funds.
Administrative Work Options
RocketHub does not offer administrative work options. They offer what they call their “Success School”. This is their online educational class to teach those preparing to launch a campaign the tools for a successful crowdfunding campaign. The good part is that it’s free to download right on their website.
RocketHub also offers an exhaustive Q&A (Questions and Answer) page on their website. It covers just about every topic imaginable concerning how to start a campaign, how to market a successful campaign to tips on managing your team and project leaders. They also answer common questions on payment methods along with technical questions on taxes, etc.
While there are crowdfunding sites out there that do offer administrative options such as automated emails and project management, RocketHub’s approach is more “DIY” (Do it Yourself). They focus on providing as many details as possible for people to navigate fundraising themselves. For instance, you have to manually send out emails to your donators. For the high amount of money RocketHub takes out of the total funds raised, they should at least provide some administrative work options.
On this note, anyone considering donating to a RocketHub campaign should be aware that RocketHub does not vet anyone who uses their platform to raise funds. Any donations are made at your own risk.
RocketHub operates with a rewards framework called the Goods. Contributors are promised goods for their support. There are instances, especially in partial campaigns, in which the contributors may not receive that which was promised, and as such, as in any crowdfunding situation, one should make the donation without expecting the perk.
RocketHub suggests several ideas for the best Goods:
- A thank you on your website, on your product, in the CD liner notes, in the film credits, in your research report
- Announcement at your event
- Product named after funder
- Free ticket(s) to the show, event, launch party
- VIP tickets/access at the show, event, launch party
- Versions of the finished RocketHub product:
- Free or discounted goods or services (the ones your business or organization will produce once the project is done)
- Digital, physical, “Deluxe version,” or autographed version of album, book, app, product, art, report, etc.
- Fun souvenirs
- A role in your project
- Mentoring or consultation
- An internship
- Presence in the creative process, e.g., character names, product naming, song titles, walk-on acting role, etc.
- Direct collaboration in your project, e.g., design, development, co-writing, producing, singing, performing, etc.
- Sticker, pin, magnet, mug, poster, t-shirt, etc.
- Copies of your previous work or products Personal services
- Lesson in something you know, e.g., audio production, business planning, welding, writing, coding, surfing, cooking, film, etc.
- Customized work, e.g., artwork, code, writing, music, etc. Personal performance or demonstration
- Direct interaction
- Post card, email, phone call, web-video, etc.
- Invitation to launch party, ceremony, backstage, etc.
The following Goods are not allowed on RocketHub:
- Equity (ownership of your project)
- Revenue share
- Investment opportunities (including loans)
- Entrance into lotteries, raffles, or sweepstakes
Projects on RocketHub can include those for causes or entrepreneurial endeavors within the following categories:
- Social Good
Fundraising for personal purposes is not allowed on RocketHub.
Deadlines or Goal Requirements
Campaigns need to have a fundraising goal set before they are launched. This goal includes the amount of money need and the timeframe during which it will be raised. RocketHub recommends timeframes based upon the amount of money which you want to raise as well as the time which you can dedicate to raising the funds.
- Basic ($1,000-10,000)
- 30-45 day campaign
- 15-120 minutes per day needed to promote and manage campaign
- Intermediate ($10,000-100,000)
- 30-60 day campaign
- 1-2 hours per day needed to promote and manage campaign
- Advanced ($100,000+)
- 30-75 day campaign
- 2-4 hours per day needed to promote and manage campaign
For fundraising campaigns in which the goal was not met, there is an additional fee of 4% assessed (an 8% commission fee + 4% credit card handling fee).
RocketHub does not have a mobile app.
Time in Business
RocketHub has been in business since January, 2010.
340 West 42nd Street
New York, NY 10108