best practice for entering gifts received via crowdfunding

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Rob Kudyba
Rob Kudyba
Tenth Anniversary Facilitator 1
in Blackbaud Raiser's Edge NXT®: General Discussion

We did a recent Indiegogo campaign and they send a couple checks based on the past 4 weeks and of course take a fee. How do organizations typically enter the gift info to deal with the fees? For example we've been entering the individual gifts as pledges and then when the combined check comes in, we put the grand total into a new org record for Inidiegogo's 3rd party, FirstGiving and then we're planning on writing off the fees from the pledge. We may just change to not deal with the pledge and just take the gift total since we're not tied to Financial Edge and don't connect our accounting database (FundEZ).

 Guess this would apply to more than just crowdfunding, e.g., Network for Good.

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  • Mary McConne
    Mary McConne
    Ancient Membership Facilitator 1
    Rob Kudyba:

    We did a recent Indiegogo campaign and they send a couple checks based on the past 4 weeks and of course take a fee. How do organizations typically enter the gift info to deal with the fees? For example we've been entering the individual gifts as pledges and then when the combined check comes in, we put the grand total into a new org record for Inidiegogo's 3rd party, FirstGiving and then we're planning on writing off the fees from the pledge. We may just change to not deal with the pledge and just take the gift total since we're not tied to Financial Edge and don't connect our accounting database (FundEZ).

     Guess this would apply to more than just crowdfunding, e.g., Network for Good.

    Check with your finance team. I believe GAAP says you record the gross amount as revenue and the fee amount is recorded as an expense

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