There’s no denying the popularity of crowdfunding campaigns. According to Statista, there were over six million of them in 2022. By 2030, the World Bank projects the crowdfunding market will grow to $300 billion.
It’s no wonder. With so many different crowdfunding platforms that make it simple to get a campaign up and running quickly, running a crowdfunding campaign is easier than ever.
As a fundraising tool, crowdfunding can be a game-changer for schools and school support organizations like PTOs, PTAs, Booster Clubs, and Foundations, helping to rally supporters and raise funds for important programs, activities, and upgrades.
But it also presents significant challenges for school districts that need oversight into the flow of money through their units.
The good news? There is a pathway for school districts to gain transparency and reduce risk around crowdfunding campaigns.
Crowdfunding is a way to raise funds online, through person-to-person or person-to-organization donations, by asking a large number of donors to contribute a small amount to support a fundraising goal.
The crowdfunding platform that administers the campaign takes a percentage of the donations as a service fee.
Crowdfunding campaigns for schools and school support organizations are a great vehicle for reaching a wider audience and tapping into the power of collective fundraising, but there are a number of things school districts need to consider to ensure transparency and accountability.
