Resources

Welcome to the Fondy knowledge hub

We are a bit geeky when it comes to payment technology, but the thing that excites us the most is helping to grow your business – so are some useful tips from us to you.

If there’s a topic we’ve missed, let us know, and we will be happy to dive into it.

Resources homepage

How to create, build, set up, and start a crowdfunding platform with expert insights & Fondy’s payment solutions

27.02.2025

30 min

Introduction

Crowdfunding has become a powerful way for entrepreneurs, creatives, and organisations of all sizes to fund their projects and reach a global audience of backers. This approach to raising capital allows individuals and businesses to present an idea, project, or cause on a digital platform where supporters can contribute financial backing. Over the last decade, crowdfunding has evolved into a multi-billion-pound industry, giving rise to countless success stories — from tech start-ups revolutionising entire industries to community-driven initiatives aiming to create local impact.

Yet, entering the crowdfunding market is not simply a matter of launching a website and hoping investors will appear. Building a fully functional crowdfunding platform takes in-depth research, secure payment processing, robust compliance practices, a user-friendly interface, and a clear value proposition. In other words, it requires you to carefully think about how to create a crowdfunding platform that stands out from the competition.

In this comprehensive guide, we will show you how to start a crowdfunding platform from the earliest conceptual stages right through to a successful launch. You will learn how to build a crowdfunding platform that incorporates the right features, addresses regulatory concerns, and resonates with your target audience. We will also explain how to set up a crowdfunding platform to handle the complexities of accepting, splitting, and distributing funds in a transparent and efficient manner.

Throughout, we will highlight critical decisions related to crowdfunding platform development — such as whether to use a CMS, a white-label solution, or opt for a custom-built approach. Additionally, you will discover ways to handle KYC (Know Your Customer), AML (Anti-Money Laundering) checks, and payment security, all of which are pivotal to creating a safe environment for both fundraisers and backers.

Finally, we will explore the valuable role Fondy can play in simplifying the entire payment process. Fondy provides a specialised fintech solution (Fondy Flow) that takes care of everything from automated seller onboarding to split payments. If you want to build, create, setup, or develop a robust crowdfunding platform or app, having a dedicated payment partner like Fondy can be a game-changer.

By the end of this article, you will have a clear roadmap for crowdfunding platform development, along with the insider knowledge needed to start your journey in the most efficient and compliant way possible. Let us begin by clarifying what crowdfunding is, why it continues to grow in importance, and how it can benefit a wide range of projects.

What is crowdfunding and why does it matter

Developing a crowdfunding platform that can effectively attract project creators and contributors requires focusing on several key features. These features not only enhance the user experience but also add layers of security, trust, and transparency — elements that are particularly important when people are handling money online.

1. Clear project listings and categories

A well-organised catalogue of projects is fundamental to retaining users’ interest. Make it easy for potential backers to browse, filter, and discover campaigns based on factors like category, location, or funding goal. Clarity in listing presentation reduces friction and helps match backers with projects they are more likely to support.

2. Transparent payment processing

Payment security is the backbone of any platform that handles money. Users should feel confident that their transactions and sensitive data are protected. This is where crowdfunding platform development must include robust payment solutions. Integrations with trusted gateways, bank cards, digital wallets, and local methods not only broaden the platform’s appeal but also foster trust among users. Being able to set up or create a transparent payment process is critical for long-term success.

3. Comprehensive user profiles

Whether someone is a backer or a fundraiser, the profile page needs to be both informative and intuitive. Backers might want to track their contribution history, while project creators need analytics and reporting to understand how their campaign is performing. Rich profile features encourage a sense of community and repeated usage.

4. Campaign management tools for creators

Tools that allow project owners to easily set goals, deadlines, and reward tiers (where applicable) can differentiate your platform. Equally, providing effective ways to share updates, communicate with backers, and post campaign milestones can improve backer satisfaction.

5. Robust analytics and dashboard

Both backers and creators benefit from data insights. Fundraisers can see where traffic is coming from, how many visitors convert into backers, and which channels yield the most pledges. Meanwhile, platform administrators need analytics to track overall performance, success rates, and user engagement metrics.

6. Mobile-responsive design

Many users browse the internet primarily on mobile devices. Ensuring your platform’s layout and features scale seamlessly across different screen sizes is essential. This design approach enhances user experience and can boost campaign visibility through social media sharing.

7. Secure sign-up and verification

Steps to verify identities, such as implementing KYC (Know Your Customer) and AML (Anti-Money Laundering) checks, are crucial to comply with regulations and reduce fraud. Automated systems that handle identity verification and risk assessment can make your platform more credible.

8. User support and community engagement

A reliable customer support channel, whether through email, chatbots, or helplines – builds trust and loyalty. Encourage backers and creators to engage with each other, ask questions, and share feedback. This sense of community often drives more successful campaigns.

In short, a truly successful platform must cater to its two primary user types (fundraisers and backers) by providing them with the tools and confidence they need to facilitate projects and contributions smoothly. In the next section, we will map out how to create, build, set up, and start a crowdfunding platform in a structured manner, ensuring you tick off each critical component at the correct stage of development.

How to create, set up, and start a crowdfunding platform: a step-by-step guide

The process of crowdfunding platform development can feel overwhelming, especially if you are new to the space. However, breaking it down into logical steps helps you manage each phase more effectively. Below is a blueprint covering everything from the conceptual phase to the live launch and beyond.

Step 1: Choose your niche and define your goals

One of the first steps in how to build a crowdfunding platform is deciding who you want to serve. A one-size-fits-all approach can work, but platforms with a defined niche often stand out. For instance, you might specialise in environmental conservation projects, indie gaming, sustainable fashion, or real estate. Understanding your core audience allows you to tailor platform features, marketing strategies, and even the user interface.

Once you have a niche, clearly define your goals:

Financial goals: Determine revenue models (transaction fees, platform fees, monthly subscriptions).
Branding goals: Decide on the kind of brand image you want — innovative, socially conscious, or community-oriented?
Growth targets: How many campaigns or users do you hope to attract within the first six months to a year?

This clarity will guide every subsequent decision, from design and development to marketing and user engagement.

Step 2: Plan your platform’s features and legal considerations

Your next task is to compile a list of essential features for both backers and fundraisers, as outlined in the previous section. Consider aspects like user registration, project submission, payment methods, and analytics dashboards. Think about whether you will offer advanced functionality like split payments for multi-party projects or recurring pledges for subscription-based funding models.

Simultaneously, address the legal framework for how to set up a crowdfunding platform:

Regulatory compliance: Depending on your region, specific licences or authorisations might be necessary.
KYC and AML: Decide how you will verify identities and handle compliance checks. Automated solutions can speed up user onboarding and reduce manual workloads.
Data protection: Ensure compliance with data privacy regulations (e.g., GDPR) if you expect to handle users’ personal information, especially from the UK or EU.

Legal considerations may vary if you plan to expand internationally. Consulting legal experts early in the process will save you from costly issues later.

Step 3: Pick a technology stack and development approach

When deciding how to create a crowdfunding platform, you have a few different ways to approach development:

CMS-based development: Content Management Systems (CMS) like WordPress (with crowdfunding plugins) can offer a quick start. They are budget-friendly but might lack the scalability or customisation you want in the long run. They also require regular updates and security checks.
White-label solutions: Some companies provide white-label crowdfunding platforms that can be rebranded with minimal effort. This option speeds up the launch process but might limit unique customisations.
Custom development: Building your platform from scratch offers the most flexibility. You can tailor everything from the user interface to payment integrations. However, custom development usually demands more time, expertise, and funding.

Your choice here will directly affect cost, scalability, security, and the time to market. Factor in your technical resources, budget, and the complexity of features you want. If you are aiming for advanced functionalities like split payments, multi-currency support, or an app version of your crowdfunding site, custom development often proves more adaptable.

Step 4: Design and user experience

Design is not just about aesthetic appeal; it is about usability and intuitiveness. Crowdfunding involves trust. Backers are parting with their hard-earned money, so the interface should evoke credibility and confidence. Consider the following:

Intuitive navigation: Group projects into meaningful categories and simplify the process of discovering campaigns.
Mobile-responsiveness: A growing percentage of online traffic comes from smartphones. An unoptimised mobile experience can deter potential backers.
Brand consistency: Choose a coherent colour palette, typography, and design elements that reflect your platform’s niche and personality.
Clear calls to action: Make it obvious how to pledge, share a campaign, or launch a new project.
Community-building features: Forums, Q&A sections, or comment threads can enhance interaction.

User testing at this stage can yield valuable insights. Gather a small group of beta testers to see how they navigate the site, set up campaigns, or make pledges. Their feedback will help you identify bottlenecks early.

Step 5: Develop your MVP and conduct initial testing

An MVP (Minimum Viable Product) is a scaled-down version of your platform focusing on core features — such as user registration, campaign creation, basic payment processing, and perhaps a project search function. It allows you to enter the market faster, gather real-world user feedback, and pivot if necessary without having invested heavily in features that might not be needed.

Core functionalities: Ensure that the MVP can handle essential workflows (e.g., launching a campaign, making a contribution, receiving funds).
Testing scenarios: Test your platform under different conditions, such as high traffic or varied payment methods to check for stability, security, and compliance.
Early user feedback: Encourage testers to report issues or suggest improvements. The insights you gain can inform your full-scale development and marketing strategy.

At this stage, you might not have integrated advanced features like split payments or multi-currency acceptance. However, you should have a roadmap for these enhancements if they are part of your ultimate vision.

Step 6: Full launch, marketing, and growth strategy

After incorporating the feedback from your MVP phase, you can proceed to a full launch. This is where a robust marketing plan becomes crucial. While some platforms rely on organic word of mouth, a crowded market often necessitates well-structured campaigns on social media, online forums, and industry-related publications.

PR and outreach: By removing traditional barriers, crowdfunding enables a broader range of innovators, artists, and social impact organisations to bring their concepts to life.
Content marketing: Platforms like Kickstarter, Indiegogo, or GoFundMe have united backers and creators from all over the world, facilitating cross-border projects and collaborations.
Email campaigns and newsletters: Keep backers and creators in the loop about updates, new features, or successful campaigns.
Referral programmes: Encourage users to invite others with incentives such as reduced platform fees or exclusive campaign perks.

As your user base grows, you will gain more insights into usage patterns, campaign success rates, and areas of friction. This data can help you refine the platform, introduce new features, or even expand into additional niches. By adopting an agile mindset, you can iterate and improve continuously, ensuring long-term sustainability.

Common challenges in crowdfunding platform development

No matter how meticulously you plan, challenges are inevitable. Being aware of these pitfalls helps you prepare solutions or mitigation strategies in advance.

1. Fraud prevention and security

Handling people’s money invites potential for misuse. Credit card fraud, identity theft, and bogus campaigns are real risks. Implementing robust payment gateways, verifying user identities, and incorporating automated risk assessment tools can help reduce these vulnerabilities.

2. Regulatory compliance

Crowdfunding is regulated differently depending on the region, especially for equity- and loan-based platforms. Stay informed about local and international regulations if you operate across borders. Missteps can lead to hefty fines or platform shutdowns.

3. User trust and brand reputation

If your platform becomes associated with scams or data breaches, it can be difficult to recover user trust. Transparent policies, clear communication, and a responsive customer support team are vital for brand protection.

4. Technical scalability

As your platform grows, can your server infrastructure handle sudden spikes in traffic — such as a major campaign going viral? Cloud-based solutions and load balancing can help maintain stability.

5. Maintaining user engagement

Crowdfunding can be cyclical, with spikes during campaign launches and lulls in between. Encouraging backers to remain active — perhaps through community features or curated newsletters helps retain their interest.

By addressing these challenges early and building robust solutions into your crowdfunding platform development plan, you will create a more reliable and reputable destination for both backers and project creators.

Building a thriving community for sustainable crowdfunding success

In the pursuit of building a dynamic online community, many platforms overlook the human element that underpins successful crowdfunding. To effectively create a space where people feel motivated to contribute, it is essential to start by understanding the diverse motivations of backers and project creators, especially in the crowdfunding realm. Crowdfunding thrives when participants sense a collective mission, reinforcing long-term loyalty. From the earliest stages of development, emphasising dialogue, feedback, and transparency can transform a basic app into a powerful driver of crowdfunding engagement.

In addition to a sense of shared purpose, successful crowdfunding often depends on fostering a vibrant communication loop. When you create dedicated forums, Q&A sessions, or live streams, you empower participants to start conversations that build mutual trust within the crowdfunding community. This approach encourages backers to start connecting with project owners, ultimately boosting overall crowdfunding momentum. While technology is crucial, effective development also requires consistent community engagement strategies that maintain excitement throughout each crowdfunding campaign.

To further strengthen the bonds within a crowdfunding community, consider spotlighting success stories and personal journeys. When you create compelling narratives that showcase how people overcome obstacles, you inspire others to start believing in the power of collective effort. This sense of shared identity can greatly enhance crowdfunding outcomes, particularly when combined with robust development strategies. By weaving emotional elements into each crowdfunding campaign, you cultivate a loyal audience eager to support innovative ideas, ensuring your crowdfunding platform remains relevant.

Engagement is not limited to the digital realm. Hosting offline meetups or networking events can expand the reach of your crowdfunding initiatives, reinforcing your crowdfunding brand identity. When you create opportunities for face-to-face interaction, you enable participants to start forging real-world connections, which often leads to deeper trust in the crowdfunding process. These personal interactions can also start a ripple effect that bolsters platform credibility. A forward-looking development plan, including strategic partnerships and local outreach, can help scale crowdfunding campaigns even further.

Another critical factor is transparency. In crowdfunding, openness about fees, deadlines, and outcomes can build confidence among newcomers. When you create a platform where every stage of the crowdfunding process is clearly outlined, you allow users to start contributing without second-guessing potential risks. Additionally, robust development of audit trails and verification procedures will protect your crowdfunding reputation. Maintaining honesty about both successes and setbacks fosters an environment where everyone feels valued, encouraging repeat participation in crowdfunding ventures.

To sustain momentum, it is vital to continuously refine your crowdfunding engagement tactics. One effective method is to create periodic content (like webinars or blog posts) that highlight new crowdfunding campaigns, success metrics, and best practices. These updates encourage backers to start exploring fresh opportunities while also motivating project owners to start refining their pitches. At this stage of development, you can introduce gamification elements or loyalty rewards, further elevating the excitement surrounding crowdfunding campaigns. By maintaining this cycle of innovation, you can drive consistent crowdfunding growth across diverse crowdfunding categories.

As you refine your long-term vision, remember that crowdfunding thrives on adaptability and responsiveness. To remain competitive, you must regularly evaluate how your platform aligns with changing user expectations for crowdfunding services. If you plan to start expanding globally, pay close attention to localisation and regulatory requirements, ensuring every crowdfunding transaction is compliant. Ongoing development of analytics, fraud detection, and user experience tools will help you stay ahead in the crowdfunding landscape. Ultimately, a flexible mindset allows your crowdfunding platform to evolve, consistently meeting the needs of diverse campaigns and communities.

Costs, timelines, and monetisation strategies

Before you can fully answer how to start a crowdfunding platform, it is crucial to understand what it might cost, how long it typically takes, and how you can monetise your efforts.

Costs

Development and design: Whether you choose CMS, white-label, or custom, expect expenses ranging from a few thousand pounds (for a simple CMS site) to tens of thousands (or more) for a sophisticated custom build.
Hosting and infrastructure: Cloud-based solutions typically offer flexible pricing depending on your usage. Plan for scalability so you can handle peak traffic.
Compliance and legal: Budget for legal consultations, especially if you are dealing with equity or loan-based crowdfunding.
Marketing and promotion: Depending on your strategy, marketing spend can range from basic social media ads to more extensive campaigns involving influencers or PR agencies.

Timelines

Initial planning: 2–4 weeks for business goals, niche definition, and competitor research.
Development and MVP: 2–6 months, depending on complexity and the resources available.
Full launch: An additional 1–3 months, including beta testing, feedback integration, and marketing preparation.

These are rough estimates and will vary significantly based on the size of your team, the complexity of the platform, and the speed at which you can integrate user feedback.

Monetisation strategies

Platform fees: A percentage of all funds raised (e.g., 5%)
Transaction fees: A small surcharge on each contribution.
Subscription model: Monthly or annual memberships for creators who want premium features.
Advertising: Sponsored content, banner ads, or featured campaign spots.
Value-added services: Offering marketing support, campaign consultations, or analytics packages for an additional fee.

Many successful crowdfunding platforms combine multiple revenue streams (e.g., platform fee + premium services) to maximise profitability while still offering genuine value to users.

Leveraging Fondy for your crowdfunding platform

One of the biggest technical and operational hurdles in crowdfunding platform development is managing payments: from accepting contributions in different currencies to splitting funds among multiple parties and disbursing payouts in a timely manner. This is where Fondy provides a transformative solution.

Fondy Flow: The all-in-one fintech solution

Fondy Flow is designed specifically for two-sided platforms and marketplaces, making it a perfect match for crowdfunding. It offers:

USP for startups

If you are a start-up looking to build or create your crowdfunding platform quickly, Fondy offers transparent pricing and straightforward onboarding processes. You can start accepting payments almost immediately using payment links, invoice-based methods, or popular CMS integrations. This lower barrier to entry allows you to test your platform concept before investing heavily in custom code.

Seamless payment acceptance: Collect funds from cards, Apple Pay, Google Pay, BNPL options, PayPal, and local methods, all in multiple currencies. This broad acceptance capability helps you attract backers from around the world.
Split payments and flexible payouts: If you need to divide funds among multiple project stakeholders (be they creators, service providers, or affiliates) Fondy’s system can automate the process. You can schedule instant payouts or delay them until certain criteria are met.
Automated seller onboarding: Built-in KYC/B and AML checks streamline the often labour-intensive process of verifying sellers, project creators, or other parties. Fondy’s hosted interface makes the onboarding process user-friendly, minimising drop-offs.
Virtual IBAN accounts: Fondy enables you to create virtual IBANs for different users, making it simpler to track and manage financial transactions across your platform.
Easy integration: Whether you prefer a no-code approach (payment links, CMS plugins for platforms like Shopify, Wix, or WooCommerce) or a custom API solution, Fondy provides clear documentation and ongoing technical support.

USP for companies

Larger organisations or established companies need stability, personalised payment solutions, powerful split payments solutions and VIP support. Fondy meets these needs with dedicated account managers, cloud infrastructure capable of scaling fast, and advanced compliance automation. If you have a global user base or specialised compliance requirements, Fondy’s scalable architecture and multi-currency acceptance capabilities let you grow without worrying about outgrowing your payment system.

By integrating Fondy early in your crowdfunding platform development cycle, you effectively remove some of the most time-consuming and complicated elements of your build — payment security, multi-currency acceptance, fraud prevention, and payout automation. This frees you up to focus on user experience, community-building, and differentiating your brand in the market.

Final thoughts

Building a successful crowdfunding platform is an ambitious project that involves multiple layers of planning, from conceptualisation and development to compliance and marketing. If you have followed this guide on how to create a crowdfunding platform, you should now have a clearer picture of the journey ahead. You understand how to build a crowdfunding platform step by step, the key features to prioritise, the common pitfalls to avoid, and the various monetisation strategies to consider.

A strong payment infrastructure is at the heart of any crowdfunding platform, ensuring secure transactions, trust, and transparency. This is where Fondy can truly give you a competitive edge. By integrating Fondy Flow, you can handle everything from multi-currency contributions and split payments to automated seller onboarding — all through a single solution.

If you are ready to start or set up your new crowdfunding platform, we encourage you to explore Fondy and see how its suite of fintech tools can streamline your payment processes. Whether you are a lean start-up validating your first MVP or a well-established organisation aiming to expand globally, Fondy’s flexible and transparent approach to payments can help you launch with confidence.