Crowdfunding has seen huge growth in America over the last few years, particularly since it was used to fund Barack Obama's presidential campaign in 2008.Websites such as Kiva and Kickstarter have enjoyed phenomenal success,raising millions for a vast array of projects,from the charitable to the creative.And recently there has been a swell in the growth of similar sites in the UK,set up to raise money for projects with a social purpose.The sites allow organisations or people to raise money for a project online through multiple donations or loans made by a number of donors over a short space of time.
Steve Bridger, a digital consultant for charities who was on the Innovation in Giving Fund panel, says a few charities are "dabbling" in crowdfunding. He gives the example of Cancer Research UK, which has raised more than £1m through its My Projects platform – a site that allows donors to choose which particular research project they want to give to.
"Crowdfunding appeals to an emergent and growing group of donors who are giving to more specific areas of work," he says. "It gives them the more emotional, collaborative engagement and connection they want."