7 Best Crowdfunding Platforms for Small Businesses
Compare fees, funding types and features across the top crowdfunding platforms to find the right fit for your business.
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- The best crowdfunding platform depends on how you want to raise money — through rewards, equity, donations, revenue sharing or no-interest loans.
- Compare more than just fees. Funding model, campaign rules, audience size and platform features can have a bigger impact on your success than cost alone.
- Crowdfunding can help you raise capital without a traditional business loan, but successful campaigns require planning, marketing and an engaged audience.
- Different platforms serve different business goals. For example, Kickstarter is best for creative projects, Wefunder for equity fundraising and Kiva for interest-free loans.
| Platform | Best for | Funding types | Fees |
|---|---|---|---|
 | Customizable options | Rewards; equity | $179/mo |
 | Perks-based fundraising | Rewards | 5% platform fee + 3% processing fee + $0.20/pledge |
 | Creative projects | Rewards | 5% platform fee + 3% to 5% processing fee |
 | Growth-focused founders | Equity | 7.9% + $1K/yr (Community Round); $0 for founders (Private Round, investors pay) |
 | No-interest loans | Debt | None beyond repayment |
 | Revenue/profit sharing | Revenue sharing; profit sharing; equity | 7% + 2% securities |
 | Donation-based, no fees to start | Donations | 2.9% + $0.30 per donation, no platform fee |
Best business crowdfunding platforms
Best for: Customizable fundraising options – Fundable
Funding types: Rewards financing; equity fundraising
Fees: $179 per month
Pros
- A flat monthly fee instead of a raised-funds percentage is good for ambitious fundraising goals
- Investors can renew or withdraw their commitment every 90 days, so neither side is locked in
- Equity campaigns can include convertible debt terms for a debt-to-equity conversion option
Cons
- Equity fundraising goals start at $10,000, so it doesn’t fit businesses looking to raise a smaller amount
- Requires investors and business owners to manage funds transfers off-platform for equity fundraising
Fundable earns the top spot for customizable fundraising because it lets you run both rewards-based and equity campaigns from a single account. Most platforms lock you into one model. Fundable gives you the choice, which matters if you want to test demand with backers before you decide whether to give up equity to investors.
The flat monthly subscription also changes how the fees work. Instead of taking a percentage of what you raise, Fundable charges a set monthly rate. If you run a large campaign, you keep more of the total than you would on a platform that takes a cut of every dollar. For smaller raises, the flat fee can cost more than a percentage model, so run the numbers against your funding goal before you commit.
You can sign up on Fundable’s website following these steps:
- Enter your email address to get started.
- Create a free company profile including your funding goal, company name and quick pitch.
- For equity funding, share your executive summary and fundraising terms, along with a pitch deck, business plan and financial information if available.
Best for: Perks-based fundraising – Indiegogo
Funding types: Rewards
Fees: 5% platform fee on all funds raised, plus a processing fee of 3% + $0.20 per pledge
Pros
- Automated stretch goals let you keep raising and adjusting perks after hitting your main funding target
- Built-in marketing, analytics and fulfillment tools
- The Late Pledge stage (formerly InDemand) lets you keep taking orders after your campaign ends
Cons
- All-or-nothing funding only, so you won’t collect any funds unless you hit your campaign goal
- The 60-day campaign limit is short next to platforms that let you fundraise indefinitely
Indiegogo fits businesses launching a new product, since it’s built around rewards campaigns rather than donations or equity. Its automated stretch goals let a successful campaign keep raising money and adding perks after it hits the original target, and the Late Pledge program extends that further, letting you keep fundraising after your deadline closes.
Indiegogo also builds in more support than most competitors, including a marketing hub, analytics dashboard and fulfillment and manufacturing help, tools that matter most for first-time creators who haven’t run a product launch before.
You can sign up on Indiegogo’s website following these steps:
- Create an account, then go to your creator dashboard and click “Add a project.”
- Choose “Indiegogo campaign” and fill out the general setup page, including project name, category, description, images, contact email, entity type, location and campaign goal.
- Accept the Terms of Service for Creators and click “Create project” to start building your campaign preview.
- Once your preview is ready, submit it for launch.
Best for: Creative projects – Kickstarter
Funding types: Rewards
Fees: 5% of total funds raised, plus processing fees of 3% to 5%
Pros
- Kickstarter has a large, engaged audience and brand familiarity, with more than 270,000 funded projects to date
- Tiered rewards with premium pricing on late pledges push backers to commit early
- Kickstarter’s Creator Handbook walks first-time campaigners through everything from setup to shipping
Cons
- All-or-nothing funding means no payout unless you hit your campaign goal
- The 60-day campaign limit is short next to platforms that let you fundraise indefinitely
- Reward tiers cap at $10,000 for U.S.-based projects
Kickstarter is the strongest choice for creative projects because its brand recognition brings backers to your campaign that a lesser-known platform can’t. With more than 270,000 funded projects and a large returning backer base, you’re tapping into an audience that’s already primed to support creative and product launches, not building one from scratch.
Kickstarter’s fee structure is very similar to Indiegogo’s, so the real difference between the two comes down to audience and format rather than cost. Kickstarter leans harder into creative, story-driven projects like films, games and design work, while Indiegogo serves a broader range of product launches.
The all-or-nothing model also works in your favor if you don’t hit your goal. You’re not obligated to deliver on any rewards if your campaign falls short.
You can sign up on Kickstarter’s website following these steps:
- Select primary product categories and subcategories.
- Share your country.
- Create an account.
- Upload project details and submit for review.
Best for: Growth-focused founders – WeFunder
Funding types: Equity
Fees: Community Round: 7.9% of funds raised plus $1,000/year, charged only on success; Private Round: free for founders, investors pay instead (direct invites free, SPVs pay a $10,000 setup fee or 5% annual management fee)
Pros
- Comprehensive support with legal, strategy and SEC filing
- SPVs consolidate every investor into a single line on your cap table
- Private and public launches available for individual campaigns
Cons
- You’re required to disclose the business’s financial information publicly to run a Community Round
- Private Round investors using SPVs must be accredited, which can narrow your pool of backers
Wefunder stands out for growth-focused founders because it’s built to look and feel like a venture round, not a rewards campaign. Founders choose between a public Community Round or an invite-only Private Round, and either way, every investor lands on a single cap table line instead of dozens of individual entries.
That structure matters most once you’re raising again. A clean cap table is easier for future investors to evaluate, and Wefunder’s legal and SEC filing support removes work that would otherwise go to outside counsel.
The tradeoff is disclosure. Community Rounds require two years of GAAP financials and details on your officers and major stakeholders, public information that a bank loan or line of credit wouldn’t require.
You can sign up on Wefunder’s website following these steps:
- Share your company name and website to get started, then create an account.
- Follow Wefunder’s setup flow to add business and funding details.
- Choose between a Community Round or a Private Round based on how public you want your raise to be.
Best for: No-interest loans – Kiva
Funding types: Debt
Fees: No fees outside of loan repayment
Pros
- 0% interest and no fees
- No collateral required
- Funded loans get exposure to Kiva’s 2.1 million lenders worldwide
Cons
- Borrowers must recruit lenders through their private networks in 15 days in order for the campaign to go public
- Full funding can take one to two months
Kiva is the only platform on this list for no-interest loans, letting you borrow money without paying interest or fees. Instead of scoring you on credit history or collateral, Kiva looks at how many people in your network are willing to vouch for you by lending during the private fundraising period, a process it calls “social underwriting.”
The tradeoff is that Kiva rewards borrowers with strong personal or community networks. If you don’t have contacts willing to back your private fundraising period, building enough momentum for the public phase gets harder.
You can sign up on Kiva’s website following these steps:
- Confirm whether you’ve applied for a Kiva U.S. loan before, then watch the required two-minute video.
- Share personal information including name, age and whether you’ve ever filed for bankruptcy or have a criminal conviction.
- Add business information like the legal name and address, then confirm your business and loan use meet Kiva’s eligibility rules.
- Select how much you’d like to borrow, note how you heard about Kiva and submit your application.
Best for: Revenue and profit sharing – Republic
Funding types: Revenue sharing; profit sharing; equity
Fees: Commission fees of 7% of money raised in cash and 2% of securities issued; Republic won’t take any fees if a campaign doesn’t meet its minimum target
Pros
- Revenue and profit sharing let you hold onto equity while still raising significant funds
- Publish a teaser page in minutes to start building an audience before your campaign goes live
- The Crowd SAFE keeps founders in control, since investors don’t gain voting rights
Cons
- Only LLCs and C corporations based in the U.S. can fundraise on the platform
- Your accounting must be GAAP compliant
- Successful campaigns require ongoing annual SEC reports for future fiscal years
Republic is the top choice for revenue and profit sharing because it lets you raise capital without giving up equity outright. Instead of selling shares, you commit to paying investors a cut of revenue or profit through Republic’s Crowd SAFE. That works for founders who want funding now but don’t want to give away ownership or a say in company decisions before raising venture capital later.
Republic backs this up by letting you publish a teaser page in minutes, well before your full campaign, so you start building an audience early. The tradeoff comes down to eligibility. Your business has to be a U.S.-based LLC or C corporation, and if you’re raising more than $124,000, your financials need a review from an independent CPA.
Apply to fundraise on Republic’s website. Republic reviews applications before approving a campaign to launch.
Best for: Donation-based fundraising with no fees to start – GoFundMe
Funding types: Donations
Fees: 2.9% + $0.30 per donation, no platform fee
Pros
- No platform fee to launch a campaign
- You can withdraw funds as they come in, without waiting for the campaign to end
- You keep the funds you raise even if you fall short of your goal
Cons
- Relies on donations rather than product perks or equity, so it doesn’t fit businesses wanting to offer backers something in return
- Drives far less organic discovery than reward-based platforms, so campaigns depend on the owner’s own network
GoFundMe is the top pick for donation-based fundraising because it removes the two biggest barriers to starting a campaign. There is no platform fee to begin, and there is no minimum goal you must hit to withdraw funds. That combination suits a business owner who needs cash quickly and can’t risk building a rewards program or giving up equity.
Small businesses use GoFundMe most often for recovery situations like a fire, a flood or a sudden closure, where the ask is emotional and the audience is a local community rather than product backers. Donors give because they believe in the cause, so the strongest campaigns come from owners with an existing customer base or community already invested in their survival.
You can sign up on GoFundMe’s website. Create an account, then follow the prompts to set your fundraising goal, tell your story and connect a bank account to receive funds.
What is crowdfunding?
Crowdfunding is raising money for your business from a large pool of individual backers online, often in exchange for a reward, equity or revenue share. It’s one of the most accessible forms of startup funding and small business funding, since campaigns run on public platforms rather than through a bank’s underwriting process.
Each campaign sets a funding goal and a deadline, and some platforms let you keep whatever you raise even if you fall short, while others refund backers if you miss the target.
Only 15% of prospective business owners have applied for a loan or line of credit, and just 17% have sought outside investment, according to a LendingTree survey of 2,000 U.S. consumers. That’s despite 28% citing a lack of funds as a top barrier, second only to economic uncertainty (29%).
Crowdfunding fills that gap. It skips the credit check and collateral and lets you test for an audience before committing to a loan or giving up equity.
Is crowdfunding right for my business?
Crowdfunding could be right for your business if:
- You don’t qualify for or don’t want conventional financing, such as a business loan or line of credit.
- You want to test demand for a new product or service before you build it.
- You have a customer base, online following or local community likely to back your campaign.
- You’re willing to trade equity, revenue share or rewards for capital instead of taking on debt.
- You have the time to run a campaign well, since the strongest ones take real marketing effort, not just a page and a link.
If none of these describe your situation, a traditional loan, line of credit or investor may fit better than a crowdfunding campaign.
Pros and cons of crowdfunding
Pros
- Skips the credit check and collateral that come with a bank loan or line of credit.
- Builds a community of backers and customers while you raise money, not after.
- Proves demand for your product before you spend money building it at scale.
Cons
- All-or-nothing platforms like Kickstarter and Indiegogo return nothing if you miss your goal, even after months of marketing effort.
- Campaigns take real time to run well, from building a pre-launch audience to fulfilling rewards after you close.
- Equity and revenue-share agreements are legally binding, so a bad deal now can cost you control or income for years.
Alternative small business financing options
Crowdfunding doesn’t have to be an either-or decision. Some business owners use it to cover what a loan or line of credit won’t or to build proof of demand before approaching a lender. These small business funding options can also stand in for crowdfunding entirely if your business doesn’t fit a public campaign.
Small business loans
A small business loan gives you a single lump sum upfront, which you repay on a fixed schedule. Some lenders require personal collateral to approve the loan, so factor that in before you apply. Learn more about how to get a startup business loan.
Lines of credit
A business line of credit lets you borrow as needed up to a set limit, paying interest only on the amount you use. That flexibility makes it a better fit for ongoing expenses than the one-time lump sum typically raised through crowdfunding.
Microloans
Nonprofit and mission-driven lenders issue smaller microloans, often under $50,000, to business owners who don’t qualify for a traditional bank loan. Like Kiva, many microloan programs weigh your business plan and community ties more heavily than your credit score.
Equity financing with investors
Raising capital from angel investors lets you avoid the platform fees and public campaign required with equity crowdfunding. However, you’ll typically rely on a few larger investments instead of many smaller ones. No matter which option you choose, keep a close eye on how much ownership you’re giving up.
Business grants
Small business grants from nonprofits and government agencies don’t have to be repaid. Before taking on debt or giving up ownership, explore local, industry-specific and identity-focused grant opportunities that may be available to your business.
How to run a crowdfunding campaign for your business
- Set your fundraising goal before you build anything else. On all-or-nothing platforms like Kickstarter and Indiegogo, a goal set too high can cost you every dollar pledged, even if you come close. Base the number on what you actually need to hit your next milestone, not on what would be nice to have, and pad in a buffer for platform and processing fees.
- Line up your legal review early. Equity and revenue-share agreements bind you to specific terms for years, and some platforms require financial disclosures or a pre-money valuation before you can launch. Loop in an attorney and an accountant while you’re still building the campaign, not after backers have already committed.
- Build your pre-launch audience before the campaign goes live. Crowdfunding rewards momentum. Email your existing customers, post teasers on social media and, if the platform allows it, publish a preview page to collect interest ahead of launch. Campaigns that open to an empty room struggle to gain traction later.
- Submit your campaign for platform approval with time to spare. Most platforms review new campaigns before they go live, and some take several business days. Build that lead time into your launch date instead of assuming you’ll go live the moment you hit submit.
- Promote actively once you’re live. Backers rarely find a campaign on their own. Run targeted social ads, email your list on a set schedule and ask early backers to share the campaign with their own networks.
- Deliver on what you promised. Send regular updates to backers through the campaign’s close, and if you’re running a rewards campaign, ship on the timeline you set. A strong fulfillment record is what makes a second campaign, or a referral, possible.
How to compare crowdfunding sites
- Start with the funding type, since it quickly narrows your options. Rewards platforms like Kickstarter and Indiegogo are best for product launches, equity platforms like Wefunder and Republic fit growth-stage businesses willing to sell a stake and Kiva’s interest-free loans work for businesses that need capital without giving up equity. Once you know the right funding type, you’re comparing a few startup funding platforms instead of seven.
- Weigh all-or-nothing against keep-what-you-raise. Kickstarter and Indiegogo’s all-or-nothing model means you receive funds only if you meet your goal. GoFundMe lets you keep whatever you raise. If your project only works with full funding, the all-or-nothing model can prevent a launch you can’t deliver. If partial funding is still useful, a keep-what-you-raise platform is the better choice.
- Match the deadline to your campaign, not the other way around. Kickstarter and Indiegogo cap campaigns at 60 days, while GoFundMe and Kiva let you raise on an open timeline. A hard deadline forces urgency that can help a product launch, but it can also cut off a campaign that’s building slower, steadier momentum.
- Compare fees based on how much you expect to raise. Fundable’s flat monthly fee can cost less than percentage-based platforms for larger campaigns, but it may be more expensive for smaller raises. Calculate your expected costs on each platform instead of comparing headline rates alone, the same way you’d use a business loan calculator to compare loan offers side by side.
- Read reviews from businesses like yours. A platform’s own success-rate stats reflect its whole user base, not businesses in your industry or at your funding size. Search for reviews from similar founders on the platform itself or on a third-party site like Trustpilot before you commit.
How we chose the best crowdfunding platforms for small businesses
We reviewed 20 established platforms and picked our final 7 based on:
- Fees. Platform fees and payment processing costs.
- Platform features. Tools like stretch goals, marketing support and fulfillment help that affect campaign success.
- Reach. Brand recognition and backer base size, since a bigger built-in audience means less marketing lift for you.
- Chance of success. Published funded-campaign rates where platforms report them.
- Sign-up speed. How fast you can get approved and launch.
- Reputation. User reviews and complaint history on sites like the Better Business Bureau.