White-label crowdfunding deserves some explanation because many websites and platforms describe it differently. White-label crowdfunding means you do most everything yourself, and the process is cost-free. Sometimes, if you use a white-label crowdfunding platform, there is a temporal relationship – the initial steps are free, but eventually, you need to pay for something. There are a few ways to do white-label crowdfunding; while we will elucidate one, it may not be worthwhile even if there is no cost.
Our services are available to help with this, but here is some information.
White-Label Crowdfunding Basics
Most crowdfunding is unlikely to cost you anything as far as an upfront payment, but it will likely cost you a percentage of what you raise. Some would say that this is a low-risk way to go, given that if you are quite successful with your pitch, you might not mind giving a small percentage to the website that in some way helped you be successful.
Some sites claim to be a “white-label crowdfunding platform” but may charge those who invest instead. Of course, it is only fair that the businesses behind any number of websites would charge something for their time and effort – their business costs – and since there are enough sites to generate competition, they will likely try to keep these fees low.
True White-Label Crowdfunding
The only way to have white-label crowdfunding is to build your website with a free platform like WordPress Services. You can get a free theme and free plugins, and all you will pay is a hosting fee to a company so you can put your site online. This is white-label crowdfunding, but is it worth it? You need to balance the fact that you will not have to pay anything against the value of your own time. You also have to value the extra time that this might mean your product or service is not funded.
With this option, you may need to spend a lot of time promoting your website and pitch. You will have to, for example, either directly solicit traffic through social media and other word-of-mouth techniques, or you will have to use search engine optimization techniques to drive traffic to your website. This can take a significant amount of time.
Independent Crowdfunding Benefits and drawbacks
The benefits of true white-label crowdfunding are that you retain maximum control over how your pitch will look, how it will be marketed, and how much you can change it along the way. It can be a cheaper route for you and investors. It can also more easily create a more permanent connection with investors. The downside is that more time and effort are involved, potentially taking you away from your important work with your product or service. It may also be harder to attract investors to view your pitch, and if not done properly, it may not be as compelling as the existing platforms can make it look.
White-Label Crowdfunding Platform Considerations
So what else besides having you build your website with a free platform and plugins might be referred to as white-label crowdfunding? Here are some 
examples:
– Often, an offer for free crowdfunding is merely talking about the white-label crowdfunding platform being free. There is no reference to the fact that you will pay a percentage of your raise. This may be a good option for many people and businesses, but it is not genuinely free all the way through.
– You might hear about a white-label crowdfunding platform where a fundamental pitch for a smaller amount of money is free, but the add-ons you might need to make your pitch competitive will cost money, or raising more than a little will cost a fee or percentage.
– Even a white-label crowdfunding option that is truly without cost, such as building your website, may have some costs if you need a plugin that costs something, or you could use some professional web design or search engine optimization services.
– Finally, there may be hidden costs if you go it alone to try to get white-label crowdfunding. Things like paying a percentage to credit card companies when people donate or pay for website hosting should all be factored in.
White-Label Crowdfunding Scripts
If you are not using a platform such as WordPress, you’ll need to program your site using a “crowdfunding script”. In a pure form, a crowdfunding script would allow you to use the crowdfunding website to build a unique and compelling. You may be able to find coding that is mostly finished or hire someone to put it together for you.
White-Label Crowdfunding Scripts From Scratch
It may be that that person who builds your white-label crowdfunding script stays on as part of the group, even perhaps with an equity stake. Or it may be that that person stays only as a consultant, paid as needed. One way or another, this option of building the website from the coding can create a very personalized and unique experience that can not only have all the right information but might also impress the crowd. The disadvantage of this choice is that more time is needed to maintain the site and keep everything up to date.
Finished White-Label Crowdfunding Scripts
Sometimes, the white-label crowdfunding script might describe something more complete and finished. Maybe instead of bare-bones coding, the term might refer to a website that is partially finished and merely needs some details chosen before it can be launched. This option may be more realistic for those who know a little about creating a website but cannot do it from scratch.
The nice thing about this option is that you still end up with a personalized website from your pitch to the crowd, but you do not have to have been trained in coding. Going forward, less time will likely be needed to keep your site running smoothly and fully updated. The downside is that your website will look similar to other sites built with the same partially finished white-label crowdfunding script.
Most people choose to use an established white-label crowdfunding platform for their pitch, which is also where most investors start. But looking into the white label approach and even going as far as to buy a crowdfunding script that you’ll need to build a website from can be a good option, depending on the time you have available and your expertise. Not only will you have to spend time building the site, but you’ll also need to get your site noticed by search engines and potential investors. Yet this approach gives you the most flexibility to make your unique pitch and can impress investors.
Conclusions and Our Services
Things are not simple regarding the fees and other costs associated with a white-label crowdfunding platform or independent raise. You may want to look into all options first to ensure it is worth trying to eliminate all costs by pursuing white-label crowdfunding. We can help in all areas of the process.
Our Services
Our services often include vetting platforms and presenting you with the best choice. Still, we can help if you decide to pursue white-label crowdfunding by helping you design your website, refine your pitch, and find resources to save money. Contact us any time if you have questions about white-label crowdfunding or our connection services.
