“Free” fundraising platforms virtually at all times generate profits someplace — by means of donor suggestions, processing markups, or premium upsells. Here’s what to search for earlier than you decide to any platform.
When a platform says it’s free, that phrase does a number of heavy lifting. It would imply no month-to-month subscription. It would imply donors cowl prices as a substitute of you. Or it’d imply the free model is only a teaser for a a lot pricier plan. For nonprofits planning a Giving Day, the hole between what a platform advertises and what you truly preserve can price hundreds of {dollars}.
This submit breaks down how 5 platforms actually generate profits — and which one truly delivers on its guarantees.
Fast Takeaways
- No fundraising platform operates free of charge. Somebody at all times pays — you, your donors, or each.
- The marketed charge isn’t the efficient charge when you think about processing, tiers, and add-ons.
- A donor-covers-fees mannequin can defend nonprofit income with out pressuring donors — whether it is constructed the fitting method.
- Mightycause’s Pricing Assure caps your combination processing charge at 1.99% + $0.49 per transaction, with a median efficient charge of simply 0.95%. Any overages are credited again to you earlier than disbursement.
- Platforms with opaque or quote-based pricing make it onerous to match true prices earlier than you signal.
The Platforms In contrast
Mightycause
What It Advertises
Mightycause leads with a easy promise: $0/month subscription, lowest processing charge — interval. It doesn’t disguise pricing behind a gross sales name. Each nonprofit sees the identical charges. (Mightycause pricing)
How It Really Makes Cash
Mightycause prices an combination processing charge capped at 1.99% + $0.49 per transaction. That’s the ceiling — most organizations pay even much less. The platform’s common efficient charge is simply 0.95%, which is decrease than what PayPal prices nonprofits for a primary donate button.
Right here is how the donor-covers-fees mannequin works: donors are supplied a easy, optionally available checkbox to cowl a 7.9% + $0.30 charge. If they are saying sure, you obtain 100% of their reward. If combination charges throughout your account exceed 1.99% + $0.49, Mightycause credit the distinction again to you earlier than disbursement. That’s the Pricing Assure, and it’s the solely one in all its sort within the house. (See the way it works)
There isn’t any tip immediate. There isn’t any stress. Donors select as soon as, and the language is clear.
Why It Works for Giving Days
Mightycause was constructed with group Giving Days in thoughts. It powers totally branded occasion web sites, real-time leaderboards, peer-to-peer fundraising, and participant administration — all beneath one roof. Neighborhood foundations and universities operating multi-nonprofit Giving Days depend on it as a result of the charge construction doesn’t erode the grants and matches they work onerous to safe.
As a result of Mightycause operates as a Donor Suggested Fund (DAF), it additionally handles tax receipting and 501(c)(3) compliance for each donation processed. That’s infrastructure most platforms cost additional for.
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Zeffy
What It Advertises
Zeffy calls itself the one 100% free fundraising platform for nonprofits. No platform charge, no transaction charge — none of it. Over 100,000 nonprofits use it as of 2026, and that development is actual. (Zeffy)
How It Really Makes Cash
Zeffy is funded totally by optionally available donor contributions. When somebody donates by means of a Zeffy kind, a contribution to Zeffy is pre-selected within the checkout circulation. The default share varies by transaction dimension and is ready by an algorithm — nonprofits can’t customise or flip it off. Zeffy reviews that almost all of donors go away a contribution, which covers Zeffy’s overhead and bank card processing prices.
This issues for 2 causes.
First, the tip mannequin shifts price to donors reasonably than eliminating it. A donor making a $50 reward might even see a 15% contribution pre-selected, which means they’re requested to pay $57.50. Some donors don’t discover. Some really feel pressured. And a few really feel misled after they verify their financial institution assertion. That friction can injury your donor relationships — not Zeffy’s.
Second, the mannequin depends upon donor conduct Zeffy can’t management. If contribution charges drop, the platform’s means to cowl bank card processing prices comes into query. Zeffy has acknowledged that in uncommon circumstances the place a nonprofit raises massive quantities with low contribution charges, it might attain out to debate the association.
For a one-time marketing campaign, Zeffy can work nicely. For a Giving Day the place donor belief and repeat giving matter, the mannequin introduces uncertainty.
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Donorbox
What It Advertises
Donorbox markets itself as free to start out — no setup charges, no month-to-month price on the Normal plan. It highlights ease of use and the flexibility to let donors cowl charges at checkout.
How It Really Makes Cash
The free Normal plan comes with a 2.95% to three.95% platform charge on each transaction, relying on which function you employ. That’s earlier than fee processing.
On high of the Donorbox charge, you owe Stripe or PayPal their minimize. With Stripe’s nonprofit charge at 2.2% + $0.30 and Donorbox’s base charge at 2.95%, a $100 donation on the Normal plan may price you greater than 5% in mixed charges.
To decrease charges, you have to improve. The Professional plan is $139 monthly (as of 2026) and brings platform charges right down to 1.75% to 2%. The Premium plan requires a customized quote. Fashionable add-ons — like Textual content-to-Give, API entry, and CRM integrations — layer on shortly. A free Donorbox setup can grow to be a $300+ month-to-month expense earlier than you may have even launched a Giving Day.
The donor-covers-fees possibility is obtainable, however the quantity donors are requested to cowl contains each the Donorbox charge and an estimated processor charge. In case your precise charge differs, nonprofits might soak up the hole.
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Funraise
What It Advertises
Funraise leads with a free Necessities tier and premium plans at increased volumes. It emphasizes its donor-covers-fees mannequin and reviews that about 90% of donors select to cowl charges. (Funraise Funds)
How It Really Makes Cash
Funraise’s charge mannequin works in a different way than most platforms. On the free Necessities tier, Funraise doesn’t cost a flat platform charge to the nonprofit. As an alternative, a platform charge is just utilized when a donor opts to cowl charges at checkout. If a donor doesn’t cowl charges, the nonprofit pays solely the fee processing charge of two.9% + $0.60 through Funraise Funds (powered by Stripe). (Funraise Funds particulars)
Meaning your baseline price with out donor protection is the cardboard processing charge — not a stacked mixture of platform and processor charges.
When donors do cowl charges — which Funraise says occurs about 90% of the time — the typical efficient charge drops to roughly 0.8% on premium plans. These are strong numbers, however they depend upon donors saying sure at checkout persistently.
Key options like peer-to-peer fundraising, SMS messaging, auctions, and superior reporting are locked behind paid plans. For a Giving Day that depends on crew fundraising and real-time leaderboards, meaning you might be seemingly paying from day one. Premium pricing is quote-based, which makes it onerous to price range with out getting on a name.
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OneCause
What It Advertises
OneCause positions itself as an all-in-one occasion and public sale platform. It affords a Pay-As-You-Go plan and highlights its award-winning assist crew.
How It Really Makes Cash
OneCause’s Pay-As-You-Go plan prices a 5% charge on funds raised, with a cap. For organizations elevating beneath $50,000 yearly, this may work. However a nonprofit elevating $200,000 at a Giving Day occasion may owe as much as $10,000 beneath this mannequin earlier than hitting the cap.
For organizations with increased volumes, OneCause strikes to annual subscription pricing. The Skilled bundle begins at $2,995 per yr. Enterprise and Nationals tiers require customized quotes. Not one of the increased tiers present pricing publicly, which implies each shopping for dialog begins with a gross sales name.
OneCause is a robust product for gala-style occasions and dwell auctions. However for nonprofits that need clear pricing and a platform constructed for Giving Days — with group basis instruments, multi-org assist, and a no-subscription mannequin — the fee construction and gross sales course of add friction that smaller organizations ought to weigh fastidiously.
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True Efficient Fee Comparability
| Platform | Month-to-month Value | Platform Payment | Processing Payment | Avg. Efficient Fee |
| Mightycause | $0 | Capped at 1.99% + $0.49 combination | Included in cap | ~0.95% (with donor protection) |
| Zeffy | $0 | $0 to nonprofit | Lined by Zeffy through donor suggestions | 0% to nonprofit; donor pays optionally available tip |
| Donorbox | $0–$139+/mo | 1.75%–3.95% | 2.2% + $0.30 (Stripe nonprofit charge) | ~5%+ on free plan |
| Funraise | $0 (Necessities) | $0 if donor doesn’t cowl | 2.9% + $0.60 | 2.9% + $0.60 with out protection; ~0.8% with 90% donor protection |
| OneCause | $0 PAYG / $2,995+/yr | 5% PAYG (capped) | Varies by processor | ~5% PAYG; decrease on annual plans (quote required) |
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Tips on how to Calculate the True Value of a Platform
Earlier than you join any fundraising platform, ask these 4 questions:
1. What’s the mixed charge per transaction?
Add the platform charge and the fee processing charge collectively. A 2% platform charge plus a 2.2% + $0.30 processing charge (Stripe nonprofit charge) means roughly 4.2% on a $100 reward.
2. Is there a month-to-month subscription?
A $139/month plan prices $1,668 per yr. If you happen to elevate $50,000 yearly, that’s 3.3% of your income earlier than you course of a single donation.
3. What options require a paid improve?
Peer-to-peer fundraising, CRM integrations, and analytics are sometimes locked behind increased tiers. Know what you want earlier than you see the bottom worth.
4. Who pays if donors decline to cowl charges?
On some platforms, you soak up the complete price if donors say no. On Mightycause, the Pricing Assure ensures you by no means pay greater than 1.99% + $0.49 in combination processing charges per transaction — it doesn’t matter what. (Particulars)
An actual instance: Say you elevate $100,000 on a Giving Day. At Mightycause’s 0.95% common efficient charge, you retain $99,050. At a platform charging 5% plus a $139/month subscription, you retain roughly $93,332. That’s practically $5,7ssion funding — sufficient to fund a full program for a lot of nonprofits.
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Able to See the Distinction?
Mightycause’s Giving Day platform is constructed to guard your income, not erode it. With a $0 subscription, a capped processing charge, and clear donor-covers-fees instruments, your crew can give attention to group — not price math.
Request a Giving Day demo with Mightycause and see why over 76,000 nonprofits belief us with their fundraising (as of 2026)
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Regularly Requested Questions
Is Zeffy actually free for nonprofits?
Zeffy prices nonprofits no platform or transaction charges, however it’s funded by optionally available donor contributions which are pre-selected within the checkout circulation — so somebody nonetheless pays, simply not the nonprofit straight.
What’s a donor-covers-fees mannequin?
A donor-covers-fees mannequin lets donors decide in at checkout so as to add a small quantity that covers the platform’s processing prices, so the nonprofit receives 100% of the meant reward.
How do I calculate the true price of a fundraising platform?
Add the platform charge, fee processing charge, and any month-to-month subscription collectively, then mannequin it in opposition to your anticipated fundraising quantity to seek out your true efficient charge.
