Name: Kickstarter, Inc.
Inquiries: Contact page to initiate support ticket (requires account set-up)
Number of businesses served / Loan volume: More than $1.2 billion in funds raised by 65,000+ projects
General information: Kickstarter is a crowdfunding platform that allows creators of a variety of creative projects in Art, Comics, Crafts, Dance, Design, Fashion, Film & Video, Food, Games, Journalism, Music, Photography, Publishing, Technology, and Theater to obtain funding support from regular people (backers). Kickstarter provides all-or-nothing funding. Funds raised are only released to project creators if the entire project is fully-funded by the time the Kickstarter campaign ends.
Creative projects successfully funded in 2013: 19,911
Most successful funding categories: Music 16,562 | Film & Video 14,681
Payment gateway through which funds are released: Amazon Payments
Average funding amount: 47,865 out of 65,473 total Kickstarter projects successfully funded were for less than $10,000
Commissions and fees: Kickstarter’s commission is 5% of funds raised, Amazon Payments charges another 3-5% fee.
Identity requirements: Photo ID, Amazon Payments account, bank account, social security number or EIN, proof of residency
Maximum length for fundraising campaign: 60 days
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Noteworthy Kickstarter Reviews
Better Business Bureau – B rating BBB Online Reviews and Complaints
Site Jabber – Site Jabber users gave Kickstarter 2.5 out of 5 stars. Reviews are mostly from individuals who have backed projects. Unfortunately, many of the projects never materialized and backers fault Kickstarter for not having a system in place to properly vet projects or ensure project creators are held accountable if they do not deliver on a project. “Great site, lots of potential, lots of risks but if you wait it out and you pledge smartly, you won’t regret it.” [Read more ]
CNN – Kickstarter presents a fantastic opportunity for project creators to obtain funding for their projects with virtually no strings attached. Their only legal requirement is to do what they say they will do. However, backers are assuming a risk because there really is no system in place to ensure creators deliver on their promises or that projects are completed. Kickstarter puts the weight on backers to be careful when making contributions. [Read more ]
Forbes – Suw Charman-Anderson’s Forbes review of Kickstarter focuses on the ability (or inability) of creators to deliver on their projects. The question of what can be done to ensure backers receive refunds when projects fall through has been floating around the crowdfunding space for years. In reality, if a project creator doesn’t make good on a project, it is an issue for the courts, not for Kickstarter. Like it or not, backers assume an element of risk when they agree to invest in a Kickstarter project. “I lost $50 on that dead project, but whilst I could demand a refund — and I might if it was a more substantial amount — I also know that the project might yet deliver, and that even if it doesn’t, I chose to take the risk. This is a key lesson for backers: Never back a project with…” [Read more ]