ioby focuses on the local
“Ioby, as well as a way to funnel financial
transactions, is really a platform for people to bring their best ideas for the
neighborhood and get all the resources they need to make [them] happen,” Barnes
explained.
Since launching in 2009, ioby has helped 178 projects raise $409,000; over 50
percent of the donors on the platform also volunteer. An average donation on
the platform is $35, and the typical funding goal is at just above $6,000. Campaigns
run for three months, and ioby boasts an 85 percent success rate.
Ioby takes a relatively hands-off approach with its
projects. As long as a project is good for the community and for the
environment, and the campaign owner knows how to pull it off, it has a good
shot of making it onto the platform. During the campaign, ioby staff members
help answer any questions the campaign owners may have. The team follows up on
the projects afterwards to track their impact, but isn't involved in their
implementation.
“We check the projects to make sure they happen, but
we don’t do the work [project leaders] know how to do best,” Barnes summarized.
Ioby charges a $35 platform use fee for projects that
have a goal above $1000, as well as a 5 percent fee for projects that wish to
use the platform as a fiscal sponsor. Donations are tax-deductible, and ioby
waives the $35 fee for projects with funding goals below $1000. Three percent
goes to credit card processing fees.
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| Erin Barnes, co-founder and Executive Director ioby |
The platform offers a unique “flexible finish” feature
that allows campaign owners to revise their funding goal up or down, as long as
they can prove that the tweak will not compromise the project’s integrity. Campaign
owners whose projects do very well over the first few days, for example, can
increase the goal amount. Those who are dollars away from meeting their goal
but would like to receive the money sooner than the campaign ends can lower the
target amount. In either case, ioby asks the owners to submit a new budget plan
for review.
The vast majority of donations come from within two
miles of a project’s location, which makes sense given ioby's focus on the
local. Barnes said where the funding comes from isn’t a big concern for the
platform as long as projects are getting the funding and resources they need. What
does matter, however, are the ideas behind the projects.
