GoFundMe

GoFundMe is an American for-profit crowdfunding platform that allows people to raise money for events ranging from life events such as celebrations and graduations to challenging circumstances like accidents and illnesses.[1][2] From 2010 to the beginning of 2020, over $9 billion has been raised on the platform, with contributions from over 120 million donors.[3]

GoFundMe
Type of site
Crowdfunding
Available inEnglish
Headquarters
Redwood City, California
,
United States
OwnerGoFundMe, Inc.
Created byBrad Damphousse
Andrew Ballester
URLwww.gofundme.com
LaunchedMay 10, 2010 (2010-05-10)
Current statusActive

For personal campaigns in the US, Canada, the United Kingdom, Australia, France, Germany, Ireland, Italy, the Netherlands, and Spain, GoFundMe is a free platform.[4]

The company is based in Redwood City, California, with offices in San Diego and Dublin, and with operations in France, Spain, Germany, Italy and the United Kingdom.

History

The company was founded in May 2010 by Brad Damphousse and Andrew Ballester. Both had previously founded Paygr which is a website dedicated to allowing members to sell their services to the public.[5] Damphousse and Ballester originally created the website under the name "CreateAFund" in 2008 but later changed the name to GoFundMe after making numerous upgrades to the features of the website.[6][7] GoFundMe was founded in San Diego, California.[8]

In March 2017 GoFundMe became the biggest crowdfunding platform, responsible for raising over $3 billion since its debut in 2010. The company receives over $140 million in donations per month and made 2016 $100 million in revenue.[9] In June 2015, it was announced that Damphousse and Ballester had agreed to sell a majority stake in GoFundMe to Accel Partners and Technology Crossover Ventures. Damphousse and Ballester stepped down from the day-to-day oversight of the company. The deal valued GoFundMe at around $600 million.[10] In January 2017, GoFundMe acquired CrowdRise.[11] GoFundMe's CEO is Tim Cadogan.[12] Ballester remains on the board of directors and holds an undisclosed stake in the company.[13]

Business model

GoFundMe allows users to create their own website with which they raise money.[1] During this process, members can describe their fundraising cause and the amount they hope to raise, and upload photos or video.[14] Once the website is created, GoFundMe allows users to share their project with people through integrated social network links (Facebook, Twitter, etc.) and email. People can then donate to a user's cause through the website using a debit card or credit card[15] and track the progress of their funding. Those who donate can also leave comments on the website in support of the project. If the user receives no donations, then no charge is made.[16] Payment processors collect 2.9% and $0.30 from each GoFundMe transaction.[17]

GoFundMe is unique to crowdfunding in that they are not an incentive-based crowdfunding website. Although it does allow projects that are meant to fund other projects for musicians, inventors, etc., the business model is set up to allow for donations to personal causes and life events such as medical bills.[18][19][20] GoFundMe also has a special section dedicated solely to users who are trying to raise money to cover their tuition costs.[1] One of the most notable tuition projects involved helping a user raise $25,000 to pay out-of-state tuition to a PhD program.[21]

GoFundMe targets social media platforms to create awareness for campaigns, and encourages individual users to promote their fundraiser on social media throughout a campaign. According to a 2018 report by GoFundMe based on past campaign data, a donor sharing a campaign on social media results in $15 of donations on average, while any share of a campaign on social media, regardless of whether the user donated to the campaign, results in $13 of donations on average.[22]

In 2015, GoFundMe announced that the site would no longer support legal defense funds on their platform. The news came after the site suspended funding for the defense of Sweet Cakes by Melissa, a bakery that was fined for refusing to bake a cake for a same-sex wedding.[23] As of November 2017, GoFundMe's terms and conditions allow for campaigns for certain kinds of legal defense.[24]

In June 2019 GoFundMe terminated a $3 million fund raising for an Australian rugby player, Israel Folau, to finance a court case to appeal his multi-million dollar dismissal. He had quoted on social media, 1 Corinthians 6:9-10, which was said to be homophobic.[25] An alternative fundraising site was set up by the Australian Christian Lobby with the public donating $2 million in 24 hours.[26]

In November 2017, GoFundMe announced that it will no longer charge a 5% fee per donation for US, Canada, and UK individual campaigns, and instead rely upon tips left by donors to support the website.[4] The processing fee for online credit card payments will still apply to donations.[27]

Employment

GoFundMe has received several awards including best workplace in technology 2017, best workplace in giving back 2017, best small and medium companies in the bay area 2017, and best medium workplace in 2016. GoFundMe has a notable give-back program where employees pick a campaign that inspires them. GoFundMe then donates $1000 to that campaign. In 2015, GoFundMe gave back more than $500,000. GoFundMe employees receive $600 a year for a wellness program benefit. This money can be used for gym memberships, gym equipment, spas, and dietary needs. GoFundMe matches 401k contributions up to six percent. GoFundMe has designed their office with open floor plans to build a collaborative work environment.[28]

Medical fundraising

GoFundMe has stated that they are the "leader in online medical fundraising".[29] One in three campaigns is intended to raise funds for medical costs, with about 250,000 campaigns for a total of $650 million in contributions each year.[29][30] This is attributed, in part, to failures in the United States healthcare system in which GoFundMe is used to bridge the gap.[29][31]

Rob Solomon (CEO) has commented on this, saying that "When we started in 2010, it wasn't purposefully set up and built to be a substitute for medical insurance. We weren't ever set up to be a health care company and we still are not. But over time, people have used GoFundMe for the most important issues they are faced with."[30] He also adds that the large medical fundraising is the result of severe problems in the healthcare system in the United States, stating that "The system is terrible [...] there are people who are not getting relief from us or from the institutions that are supposed to be there. We shouldn't be the solution to a complex set of systemic problems."[32][33]

Notable projects

Unless otherwise stated, the following amounts are in US dollar. Days raised is the number of days between Date raised and As of.

Project Amount raised Target amount Success rate As of Notes Date raised Days raised Status
Official George Floyd Memorial Fund $14,595,200 $1,500,000 973.01% July 10, 2020 After the Killing of George Floyd, his brother Philonise Floyd established the fund "to cover funeral and burial expenses, mental and grief counseling, lodging and travel for all court proceedings, and to assist our family in the days to come as we continue to seek justice for George. A portion of these funds will also go to the Estate of George Floyd for the benefit and care of his children and their educational fund." One week after the tragedy and only four days after the start of the fund, it had already raised $7 million putting it in ranking as one of the most highly funded GoFundMe campaigns to date.[34] May 28, 2020 Active
The $1K Project $2,500,000 October 14, 2020 Created by entrepreneurs and investors Alex Iskold and Minda Brusse in response to the novel coronavirus pandemic, The $1K Project uses individual GoFundMe pages to match specific donors with specific families who have been adversely affected by the pandemic. Donors agree to contribute a minimum of $1,000 per month for three months, for a total of $3,000 per family. Small-dollar donors can make contributions that are pooled together and then matched to a family. In August of 2020, Andrew Yang’s Humanity Forward Foundation committed to matching donations, dollar-for-dollar, up to $1,000,000. As of mid-October 2020, more than 800 families had been fully funded.[35][36] April 9, 2020 Active
Help Chelsea Manning Pay Her Court Fines $267,000 $256,000 104.30% March 14, 2020 Created by Kelly Wright to raise money to help former intelligence analyst and whistleblower Chelsea Manning pay $256,000 in court fines levied against her after her refusal to testify to a grand jury about WikiLeaks founder Julian Assange. Nearly 7,000 contributions ranging from $5–$10,000 were made within two days.[37] March 12, 2020 2 Terminated
Coronavirus, rafforziamo la terapia intensiva €3,800,000 €200,000 1,900.00% March 12, 2020 Created by Chiara Ferragni and Fedez to support San Raffaele hospital, in Milan, during COVID-19 pandemic in Italy. All raised money will be used to create new beds in intensive care unit. In the project's first 24 hours it has raised over $3,000,000 from 165,000 donations, coming from over 90 countries. It is the most successful GoFundMe money raising in Europe.[38] [39] March 9, 2020 3 Active
Help KyoAni Heal $2,369,520 $750,000 315.94% August 1, 2019 Created by Sentai Filmworks to support Kyoto Animation, an anime studio which was targeted in an arson attack on July 18, 2019, leaving one of its studio buildings destroyed and resulting in the deaths of 34 people. In the project's first 18 hours it has raised over $1,000,000. The campaign received almost 70,000 donations in total.[40] July 18, 2019 14 Terminated
We The People BUILT the Wall! $25,462,400 $1,000,000,000 2.50% February 26, 2020 Created with the goal of building a wall as private citizens to inhibit illegal entry along the U.S.-Mexico border.[41] The founder, Brian Kolfage has since started a non-profit with the money, We Build The Wall, which has constructed sections of the wall.[42] Currently most money raised on GoFundMe. December 16, 2018 215 Terminated
Children Lost Both Parents In Wreck $500,075 $7,000 7,142.86% May 31, 2020 Created to support four children who were recently orphaned after both parents succumbed to injuries from a motor vehicle accident, in Georgia. The children were being moved to Sarasota, Florida. The eldest child requested $7,000 from investigating Georgia State Patrol Trooper Nathan Bradley to cover the cost of transporting their parents to a nearby cemetery. Trooper Nathan Bradley began the campaign, earning over $700,000 (in combination with direct donations, to avoid the commissions GoFundMe charges). The remaining funds have been placed into a trust to be used by the children when they reach adulthood. November 3, 2015 Active
Support for FBI Veteran Pete Strzok $448,357 $500,000 89.67% January 17, 2019 Created to support former FBI agent Peter Strzok with his legal costs and lost income after he was fired by the FBI on August 10, 2018.[43] August 13, 2018 157 Active
Funds for Humboldt Broncos $11,163,623 April 19, 2018 Created to support the victims and families of the Humboldt Broncos bus crash. The staff of GoFundMe got in contact with the president of the Humboldt Broncos as they work out how to distribute the money.[44] April 19, 2018 Unknown
March for Our Lives $3,531,110 April 12, 2018 This fundraiser was created to support the March for Our Lives demonstration, set to take place on March 24, 2018. Created following the Stoneman Douglas High School Shooting by student Cameron Kasky, he states on the page that the funds would be used for organizing the march and everything left over would go to the fund set up for the victims.[45] February 18, 2018 53 Unknown
Stoneman Douglas Victims' Fund $10,009,300 $10,000,000 100.09% June 30, 2018 This official Stoneman Douglas High School Shooting fundraiser was created by Broward Education Foundation to help the victims' families, survivors and those impacted by the horrific tragedy on February 14, 2018 in Parkland, Florida. GoFundMe waived its platform fees and donated $50,000 towards the campaign. February 15, 2018 135 Terminated
TIME'S UP $24,206,200 $24,500,000 98.80% February 26, 2020 TIME'S UP Legal Defense Fund will provide subsidized legal support to women and men who experienced sexual harassment, assault, or abuse in the workplace and while in pursuit of their careers. December 20, 2017 394 Unknown
William Osman's Fire Relief $172,471 $10,000 1,724.71% June 17, 2018 Created to support William Osman, a content creator on YouTube whose house was burnt down by the Thomas Fire on December 4, 2017. A considerable amount of the total funds raised were donated Osman's fans. December 5, 2017 194 Unknown
Paying it Forward $402,826 This fundraiser was created by Kate McClure, Mark D'Amico, and Johnny Bobbitt Jr., in order to swindle people. Their fictitious story was that Bobbitt, a homeless veteran, spent his last $20 to assist McClure on the highway when her car ran out of the gasoline. Widely reported in the US and internationally, it exceeded its goal by 4000% but when they began publicly squabbling for the money, an investigation was launched and all three were arrested and charged with theft by deception.[46][47][48][49][50][51] November 10, 2017 Unknown
LAS VEGAS VICTIMS' FUND $11,874,100 $15,000,000 79.16% April 12, 2018 This fundraiser was created by Steve Sisolak of the Clark County Commission to help the victims of a mass shooting from the Las Vegas Strip in Paradise, Nevada. October 2, 2017 192 Active
Students with Puerto Rico $216,180 $150,000 144.12% December 31, 2018 Fundraising organized by Puerto Rican college students living in the United States to help with Puerto Rico's recovery after Hurricane Maria struck the island. September 20, 2017 467 Active
Stefan Karl's Year of Healing $169,670 Stefán Karl Stefánsson, actor best known for his role of Robbie Rotten in the children's television show LazyTown, announced in September 2016 that he had been diagnosed with bile duct cancer.[52] In the following month, Julianna Rose Mauriello and Chloe Lang, the two actresses of Stephanie in the same show, created a fundraiser to help Karl with his cancer by offering him a year of healing and rest. The GoFundMe page was then popularized through Internet memes and parodies of "We Are Number One",[53] a song performed by Robbie Rotten in the series. October 10, 2016 Unknown
Support Victims of Pulse Shooting $7,853,140 $10,000,000 78.53% September 30, 2018 This fundraiser was created by Equality Florida to help the victims of a nightclub shooting in Orlando, Florida.[54][55] Over 90,000 people have contributed to this campaign. GoFundMe headquarters donated $100,000 and waived every transaction fee for this campaign.[56] June 12, 2016 840 Active
Support The Grimmie Family $192,396 June 26, 2016 American singer-songwriter Christina Grimmie was shot while signing autographs after a concert at The Plaza Live in Orlando, Florida, and later died of complications due to injuries. Grimmie's talent agency, LH7 Management, created a fund for the Grimmie family to assist in their time of need.[57][58] June 11, 2016 15 Unknown
Saving Eliza $2,025,540 $4,000,000 50.64% January 5, 2016 Saving Eliza is a campaign about Eliza O'Neill started by Eliza's father Glen. Eliza is a 5-year-old girl diagnosed with Sanfilippo syndrome, a form of childhood Alzheimer's. Over 37,100 donors have made contributions.[59] The campaign is funding research to stop the terminal and rapidly degenerative disease in children. April 18, 2015 262 Terminated
Saving Eliza Continued $2,115,870 $3,000,000 70.53% July 19, 2019 September 29, 2017 658 Active
mmsdefensefund $131,796 $200,000 65.90% May 27, 2015 Nominally a legal defense fund for Louis Daniel Smith, who faced criminal charges in relation to him selling "MMS" (Miracle Mineral Supplement). On May 27, 2015, Smith was found guilty of fraud and other charges.[60] On May 31, 2015, the mmsdefensefund was removed from GoFundMe (an archived copy is available).[61] December 17, 2014 161 Unknown
Support Officer Wilson $183,259 $250,000 73.30% August 27, 2014 A page was set up to solicit donations in support of Ferguson, Missouri, police officer Darren Wilson, who shot and killed Michael Brown. Because of the controversial issues involved, many of the attached comments were considered highly racist and inflammatory.[62] August 27, 2014 Unknown
Build Barbara Garcia a Home $73,810 After losing her home during the 2013 Moore tornado in Oklahoma, Barbara Garcia was shocked to discover her dog among the wreckage in a live news interview. Moved by her story, Erin DeRuggiero of Minneapolis created this fund to build her a new home.[63][64] May 21, 2013 Unknown
BUCKS FOR BAUMAN! $810,230 $1,000,000 81.02% July 19, 2019 This project was created for Jeff Bauman after he lost both legs during the Boston Marathon bombing.[65][66] April 16, 2013 2,285 Terminated
Celeste & Sydney Recovery Fund $797,430 $1,000,000 79.74% July 19, 2019 Celeste and Sydney Corcoran were both victims of the Boston Marathon bombing. Sydney suffered severe injuries as a result of being hit with shrapnel, and Celeste lost both legs below her knees. This campaign page was created for their ongoing rehabilitation.[67][68] April 16, 2013 2,285 Active
Emily Scott's Dream 2014 Sochi, Russia $59,380 $15,000 395.87% Emily Scott created this project to fund her trip to the 2014 Winter Olympics. The funds helped her get to Sochi to represent the United States on the women's speed skating team.[69][70] April 12, 2013 Active

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