“Matched-funding should become central to fundraising efforts for charities” says Director of the Centre of Philanthropy
What is Crowd-funding?
According to the UK Crowdfunding Association, “crowdfunding is a way of raising finance by asking a large number of people each for a small amount of money”. Crowdfunding turns traditional funding – asking for large sums of money from a small number of donors – on its head, instead asking thousands of potential funders to donate small sums of money, where often the only ask is that funders forego their morning latte for a day. Often those seeking funds will use a funding platform such as Crowdfunder or Kickstarter in combination with social media to publicise their cause.
What is Match-funding (or Match-giving)?
Match-funding is a form of crowdfunding which allows organisations to attract additional funding from a crowdfunding campaign – usually from very large grant-giving bodies or donors. It often involves a donor agreeing to match, either fully or partially, a number of donations to a specific charity or cause.
Why start a Match-funding Campaign?
A report by Dr Breeze, the Director of the Centre for Philanthropy at the University of Kent recommends that “matched-funding should become central to fundraising efforts for charities”. Why is that?
1. People give more when match-funded
- 84% of people are more likely to give to a charity appeal if match funded
- 1 in 3 donors said they donated more when they knew their donations would be matched
- The average matched donation is 2.5 times higher than a standard donation
2. It can to validate your cause
- When people invest into your service, they are generating “social proof”—demonstrating that other people believe in what you are doing
3. It doubles as marketing exposure for your cause
- Successfully utilising social and traditional forms of media are key to a successful campaign, this helps to increase the amount of people who know about your cause
GlobalGiving are the largest global crowdfunding platform and have helped raise $400M from 920,263 people who have supported 23,377 projects in 170 countries since 2002. They are accepting applications for their FREE Fundraising Accelerator Programme where participating organisations will receive online training in digital fundraising and communications, access to GlobalGiving’s fundraising tools, and entry into a crowdfunding campaign to raise at least £4000. There will be match funding opportunities, bonus prizes and graduates of the programme will become permanent GlobalGiving partners. Deadline 26th July. Sign up now!
You can also have a look at our Handy Hints: Crowdfunding document by Helen Harvey for tips on how to launch a successful campaign.