Indiegogo Help Center/Creating a Campaign/How It Works

Fees & Pricing

Sandy
posted this on September 29, 2011 16:47

On Indiegogo, it is free to create an account, to create a campaign, and to contribute to a campaign. Indiegogo only charges a fee for funds that are raised by a campaign.

Special fees may apply for campaigns raising funds on behalf of a 501(c)(3) nonprofit institution in the United States (Learn More) or for campaigns that are fiscally sponsored by one of our Partner organizations (Learn More).

Types of Fees

If you successfully raise money on Indiegogo, you may encounter the following types of fees:

  1. Indiegogo fee: Indiegogo's platform fee, which depends on whether or not you meet your goal
  2. Third party fees for payment processors (such as PayPal or credit card processor)
  3. International wire fee: International wire and/or currency exchange fees

Indiegogo Platform Fee

Indiegogo's platform fee will differ depending on if you are running a "Flexible Funding" campaign or a "Fixed Funding" campaign.

For Flexible Funding campaigns, Indiegogo has a tiered fee structure:

  • If you meet your goal, Indiegogo keeps 4% of funds raised as our platform fee.
  • If you do not meet your goal, Indiegogo keeps 9% of funds raised.

For Fixed Funding campaigns, Indiegogo will only charge you 4% of funds raised if you meet your goal. If you do not meet your goal, you will not be charged and all your contributions will be refunded. For more information, please visit our article:  Fixed vs. Flexible Funding

3rd Party Payment Processing Fees

Third party payment processors charge an additional fee of about 3%. We recommend that campaign owners estimate that 3% of funds raised (before Indiegogo platform fees) will be taken for payment processing services.

Contributions made via direct credit card are charged a payment processing fee of exactly 3%.

Contributions made via PayPal will be charged a processing fee by PayPal that may differ according to PayPal account status. For more information on this, please visit PayPal Fees. International or cross-border transactions may be charged additional fees by PayPal for currency exchange, e.g. Transaction Fees for Cross-Border PaymentsFor a complete breakdown of PayPal's payment processing fees based on your account type and region, we recommend reaching out to PayPal Support directly.

International Wire Fee

For campaigns that are raising funds in USD ($) and that have received contributions via direct credit card, you will need to provide your bank account information to receive your funds after your campaign ends. If you have a non-U.S. bank account, your credit card funds will be charged a $25 USD wire transfer fee. Because funds raised via credit card are disbursed to your bank account after the campaign's deadline (see: Disbursements: When Do I Get My Money?), this $25 wire fee will only be charged once. Your bank may also charge additional fees to accept international wires and/or exchange currency. Contact your bank to find out more about currency exchange fees. 

Partner Campaigns

Different fee structures may apply if your campaign is connected to a Partner page. Some of our partnerships, such as Fractured Atlas or San Francisco Film Society offer fiscal sponsorship, and charge a single flat fee to use both services. For more information, please visit our forum:  What is Fiscal Sponsorship?

Nonprofit Discounts

If you are running a campaign on behalf of a registered 501(c)(3) nonprofit organization, please see How to Raise Funds for a 501(c)(3) Nonprofit for details on how to offer tax-deductible contributions and receive a 25% reduction of Indiegogo’s platform fee.

Paypal vs. Credit Cards

Our fee structure is contingent on whether or not a campaign meets its goal. Contributions made through PayPal are sent to a campaign owner before the end of the campaign. Thus, our method of charging fees will differ for credit cards vs. PayPal contributions.

If a campaign is run on behalf of a 501(c)(3) nonprofit and offers tax-deductible contributions, your funds will be disbursed differently.  Please see How to Raise Funds for a 501(c)(3) Nonprofit for more details.

1. Credit Cards

Contributions made by credit card are held until the end of your campaign. The platform and third party fees are taken out when we disburse funds to your bank account. Your funds are disbursed to your account within 15 business days, assuming your account information is complete and valid.

2. PayPal

For Flexible Funding campaigns, contributions made by PayPal are sent directly to the campaign owner at the same time that the contribution is made. With each contribution, Indiegogo will withhold 9% as our platform fee and PayPal will withhold about 3% as a third-party processing fee. At the end of your campaign, if you have met your goal, we will reimburse you for 5% of all funds raised on PayPal, so that your net platform fee is only 4%. The reimbursement will be sent directly to your PayPal account, up to 10 business days after your campaign deadline.

For Fixed Funding campaigns, contributions via PayPal are disbursed to your PayPal account only when your campaign meets your funding goal. Once the funds are sent to your PayPal account, they will arrive less Indiegogo's 4% platform fee. All additional PayPal transactions made past your campaign's funding goal are disbursed the moment the contribution is made. With each of these additional contributions, Indiegogo will withhold 4% as our platform fee and PayPal will withhold about 3% as a third-party processing fee.

 
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