The Business Model of Kickstarter
Kickstarter positions itself as a platform and a recourse for creators where everyone can launch a project from various disciplines if certain requirements are met. The control and the responsibility over the projects remains with the project creators who also define the funding goal and the deadline. Once a project is launched, people who like the project can pledge an amount of money to help realize the project. The funding is based on an all-or-nothing policy implying that projects must achieve the targets set in order to receive any money. In case a project is successfully funded, Kickstarter retains 5% of the funds raised.