You need to hit your target in order to receive the funds you raise. Otherwise you will not receive any.
Spacehive operates an all-or-nothing model, which means that if you don’t hit your target, backers are refunded and you receive no funds. This can seem daunting at first, however we believe that it is to the advantage of project creators.
- It helps you raise more money than possible due to the sense of urgency it creates.
- It’s less risk for everyone. If you need £5,000, it’s not much good having £1,000 and crowd of people expecting you to complete a £5,000 project.
- It encourages people to back you. They know their money will only go towards the project as described on your page, not a half-funded version of it.
- It works. 66% of Spacehive campaigns are successful, which is much higher than the crowdfunding industry standard.
Once the initial funding target has been reached, projects can continue to raise additional funds to make the project even bigger and better. If the project has overfunding enabled, details of how the extra funds will be spent are explained on the project page and backers can choose whether to keep pledging towards those cost items too. Find out more about overfunding here.