Billionaire investor Mark Cuban of ABC’s "Shark Tank” now backs LANO member CommitChange, a new online fundraising platform that refuses to skim profits from charitable donations.
LANO member CommitChange, a new online platform for nonprofit fundraising, has closed a $700,000 seed round led by Mark Cuban of the popular ABC television show "Shark Tank.”
Cuban, along with prominent investment firms Draper Fisher Jurvetson, 500 Startups and others, looks to reinvent digital philanthropy with an innovative suite of free fundraising tools that focus heavily on the donor experience.
As a comprehensive fundraising tool for nonprofits, CommitChange seeks to unseat dominant industry player Blackbaud (BLKB - $1.7B), along with a host of existing online donor portals that earn revenue by keeping as much as one tenth the amount of each processed donation.
According to Roderick Campbell, CEO and Co-Founder of CommitChange, the company is dedicated to "eliminating donation skimming as a business model and . . . will never profit by taking a percentage of donations."
The site’s core technology is available for free to all 501(c)(3) nonprofits.
After a brief registration process, the site accepts and routes online donations to participating charities and manages fundraising campaigns through a private dashboard. Event ticketing and donor management features will be released later in 2014. Larger nonprofit organizations can access advanced versions of these tools and other services for a fixed monthly subscription, the company’s planned strategy for generating revenue.
Already in use by nonprofits and their supporters across the country, the platform is well reviewed and performing better than competitors in several categories.
CommitChange cites the following current figures:
• Average donor gift of $162 (vs $146 national average)
• Average recurring gifts of $44/mo (vs $19/mo national average)
• 11.7% of all donations are recurring
• 32 second average donation time
For more information about CommitChange, visit CommitChange.com, subscribe to the company blog at its LANO member profile or contact Jason Nicosia at firstname.lastname@example.org