Most crowdfunding platforms take a cut of your donations. They call it standard processing fees, but we call it unnecessary.
Small nonprofits that use crowdfunding to maximize donation potential quickly shouldn’t have to see 2-5% of their earnings go to their fundraising tool. When every dollar matters, these fees add up quickly and stand in the way of achieving more impact and change for your cause.
That’s why Zeffy exists. We’re not just another crowdfunding tool. We’re the only all-inclusive fundraising software that gives 100% of donations to your nonprofit. No fees. No fine print.
This guide will uncover how crowdfunding platforms are taking money away from small nonprofit impact, how to spot hidden fees you might be paying right now, and how to say goodbye to costly crowdfunding for good with Zeffy.
Understandably, crowdfunding platforms are usually built to fit the complex needs of larger organizations and to scale established causes with features that get them in front of as many new donors as possible.
They don’t always talk about how this can be detrimental to small, mission-driven organizations that don’t have entire teams dedicated to their crowdfunding efforts, time to learn intricate features, or a budget to pay to raise money.
Crowdfunding platforms can often market themselves as “low-fee” or “free to use,” but the reality is more complicated:
It adds up quickly, in both cost and confusion.
Free crowdfunding platforms can quietly chip away at what you’ve worked so hard to raise because they don’t list third-party transaction fees in their pricing, but for a grassroots organization with no margin for waste, that will not fly.
A ton of features and options sounds great until it comes at the expense of valuable time spent figuring out where to start and how to use them, and of course, the dollars invested every time you raise money.
Grassroots nonprofits need simplicity, knowing tools are there when needed, and are easy to use without constant reference to support articles or calls into a customer service line. Most importantly, they must trust that every dollar goes where it’s needed: the mission.
But most crowdfunding websites serve big nonprofits, which can absorb fees and justify platform trade-offs. That leaves small teams scrambling to meet goals with less, or compromising donor relationships when they start to wonder where their money is going.
According to Zeffy’s 2025 Donor Behavior Report, 40% of donors walked away because they didn’t feel their donation was used effectively, didn’t know where it went, or were turned off by high platform fees.
Zeffy believes your mission and your work to change communities deserve every cent of what you raise. That’s why we’re the only 100% free fundraising platform with crowdfunding tools and various simple campaigns for lean teams and overwhelmed nonprofits trying to manage their time and resources efficiently.
Over 50,000 nonprofits have already switched to Zeffy, not because it’s another option, but because it’s the only one that aligns with grassroots values. Collectively, Zeffy has helped organizations like yours raise $1 billion and save $50 million in fees.
“We switched to Zeffy after the company we were using raised their rates and added a monthly fee. Zeffy has been great! As a nonprofit, we receive 100% of the money donated to us. –We are a small nonprofit, so we do not take advantage of many of the features Zeffy has to offer, but it is nice to know more is available as we continue to grow. I would definitely recommend Zeffy to other nonprofits.” - Janet B, G2 Review
GoFundMe Pro (formerly Classy) is a fundraising platform that helps nonprofits run their large-scale crowdfunding efforts. GoFundMe Pro helps deliver professional nonprofit crowdfunding campaigns that tell their story and market them to widespread communities that scale over time.
It’s important to know that while the features and customization options are a perk, they do come at a higher cost than most grassroots nonprofits can initially afford.
Key crowdfunding features:
Cons and limitations for grassroots nonprofits:
Pricing and transaction fees:
GoFundMe Pro pricing is not regularly disclosed, and it requires a custom quote and demo. All transactions are also subject to transaction fees up to 2.5% $0.
Donorbox helps nonprofits set up a crowdfunding campaign with customizable donation pages and forms quickly. While there are many features to help create successful nonprofit crowdfunding efforts, many are behind a paywall and will cost you to use fully in addition to transaction fees.
Key features for crowdfunding:
Cons and limitations for grassroots nonprofits:
Pricing and transaction fees:
Fundly is a crowdfunding site that supports nonprofits, individuals, companies, schools, and other organizations. Campaign pages are optimized to share through social media and help gain traction with new donor audiences to raise more.
Key features for crowdfunding:
Cons and limitations for grassroots nonprofits:
Pricing and transaction fees:
Fundly charges no platform fee (covered by donor tipping) but 2.9% + $0.30 per transaction.
Fundrazr helps organizations and individuals build crowdfunding campaigns with a simple process to design the experience your donors will most likely respond to.
Key features for crowdfunding:
Cons and limitations for grassroots nonprofits:
Pricing and transaction fees:
Fundrazr waives platform fees when donor tipping is turned on. When donor tipping is turned off, a platform fee of 1-5% is charged. In either case, A 2.9% + $0.30 transaction fee applies.
Springly is an all-in-one nonprofit management software to manage crowdfunding donors and engage them as you build relationships. Features come with a price, requiring upgrades to use everything the platform has to offer as you grow.
Key features for crowdfunding:
Cons and limitations for grassroots nonprofits:
Pricing and transaction fees:
Springly’s has three pricing tiers.
Nonprofits needing more specific functionality can get a custom quote. You can choose between using donor tipping to cover processing fees or using Springly’s payment processor Adyen with a fee of 3.1% + $0.3 per transaction.
Mightycause focuses on relationship building to help your crowdfunding campaign lead to sustainable funding. Plans come with a monthly cost in addition to transaction fees, so you’ll need to budget for the tools when setting fundraising goals.
Key features for crowdfunding:
Cons and limitations for grassroots nonprofits:
Pricing and transaction fees:
Mightycause has two pricing plans available.
The University of Ottawa’s Annual Campaign department uses crowdfunding campaigns and several features of Zeffy's fundraising platform to raise $2.5 million annually. Because of Zeffy's 100% free model, the organization has saved $10,000 in fees and earnings.
The university fuels community involvement by introducing powerful visuals and quotes from students. Clarifying language such as "specifically, we are seeking funding for" helps to keep donors informed and ready to give.
As donors are hooked and ready to donate, they find a simple donation form that guides them through a few simple steps and a secure checkout process to complete their gift. Larger suggested donation amounts and the option to start a monthly gift increase the potential of raising more each time someone lands on the form.
The University of Ottawa's Annual Campaign department ran over 30 campaigns on Zeffy, ranging from crowdfunding to peer-to-peer fundraising and simple donation forms to attract new support. That success led the team to set even bigger goals, including reaching $4 million in 2025.
If you're a grassroots nonprofit, you're not just looking for a platform with features. You're looking for one that won’t take a cut of the very donations you're working so hard to raise.
The best crowdfunding platform doesn’t just offer fundraising tools. It protects your impact by ensuring every dollar raised stays with your mission, not with middlemen or transaction fees.
Zeffy is the only 100% free platform built with grassroots nonprofits in mind, from the speed of getting set up to the variety of easy-to-use features, and of course, the price.
Crowdfunding is one of the best ways to raise money for your nonprofit. Discover top tips and the best platforms for successful crowdfunding.