In a post titled “Fraud in Crowdfunding” I’ve written about the ridiculously high rate of fraud on GoFundMe campaigns. Some third-party evidence suggest that the majority of campaigns on that site involve some type of fraud, deception or mismanagement. The scams reported target both the project sponsors and those who fund the projects. Simply put, if you engage on that site you can expect to be the target of a scam.
Yesterday another high-profile fundraising campaign was shut down due to fraud. “KickAssTorrents” a popular online music service was removed from GoFundMe due to fraud, according to Digital Music News.
Businesses and organizations concerned with their reputation should avoid associating with GoFundMe, in my opinion, because the site has become synonymous with fraud and absurdity. There are plenty of legitimate crowdfunding venues for reputable organizations.
My focus is helping nonprofit organizations and small businesses run successful fundraising campaigns and I would welcome the chance to discuss your group’s plans. For more information on improving performance of nonprofit organizations, request a copy of my booklet “What every nonprofit board member should know”. It is free to officers and directors of nonprofit organizations.