Information and Terms & Conditions for Project Owners, Crowd Funders and those Raising Funds using CrowdVelocity
This section sets out the Terms that apply to the Projects that you create and the Rewards you offer, or the Pledges or other contributions you make in support of Projects.
We provide an online community platform through which Community Members can raise finance for their ideas (as Projects), and offer Rewards or make Pledges for other Projects, via crowd-velocity.co.uk.
What We Do
We facilitate collaboration and Crowdfunding processes between our Community Members, Entrepreneurs, Early Adopters, Angels, Mentors and Project Owners for Rewards, subject to the 'Community Rules' that we put in place to act as safeguards for the benefit of all Community Members (our Terms).
We also provide an online meeting place and platform through which Community Members can raise finance for, and invest in, various business ideas and community projects.
Although we may from time to time agree to promote and advertise certain Projects or help to raise awareness of their Project Goals, we will not be involved in the management of or use of Pledges in relation to a Project, nor will we directly offer or fulfil Rewards ourselves.
Types of Contributions
Contribute to a Project by making a Pledge and/or Donation
Offering time and skills to a Project Owner by sending a private message to them using the internal messaging feature on CrowdVelocity. If you offer your time and skill you do so at your own risk and will be solely responsible for any arrangements you make with Project Owners in connection with the provision of the services that you offer. You acknowledge that your contribution (whether financial or otherwise) does not entitle you to any rights in ownership of a Project, including any intellectual property rights, business control or equity ownership rights.
However making a Pledge or Donation may reward your support (financial or otherwise) with Project Rewards, as stated on the Project Rewards information page.
Making a Contribution or Pledge
Once you have registered as a Member, you can make a Donation or Pledge by visiting the Project Profile page. Some Projects may offer Rewards for your Donations or Pledge, such as early access to idea development, first product prints, access to software or other products.
Early Adopters should understand that this is a commitment to help a new idea or product, which is in development or refinement stages.
Some projects may not reach Target Funding - in which case the Backers' money will be returned if under the All or Nothing scheme.
Donations are often suitable for Social Projects and ideas that will improve the lives of others as a result of community funds. The Flexible Feature may be available for Projects that have been verified genuine and the use of funds are not intended to build a business.
Donations are designed for Social Projects that may be making a change in the world and seeking to reach crowd support and spread a message via our network. It would have to suit our ethical business requirements to be allowed to raise funds via crowd-velocity.co.uk.
We trust that our platform will be used by genuine people and ethical organisations that are solving real life problems as a result of innovation and commitment and not using practices that breach our community guidelines.
As a Member you can choose any Project that you may wish to support, and choose the amount you are willing to contribute. You can then select your payment method and submit your payment or security of payment for the Project.
Flexible Projects Pledges will be taken out immediately and Rewards distributed after the payment has taken place.
All or Nothing Projects
Each Pledge to the Project will be in return for your chosen Reward which you would like to receive. Pledges to Projects with a Fixed Funding Target will be taken out and distributed to the Project which you agreed to support only when the Funding Target is reached.
Any changes in circumstances or Project Owner commitment must be immediately notified to the Community Members to ensure transparency, commitment and affirmation to the Project Backers.
Project Owner Obligations
When offering Rewards you must:
List the type of Rewards you are offering in exchange for each donation amount.
Include a disclaimer on your campaign site and marketing material that you will make your best efforts to provide the Reward, but delivery is not guaranteed.
You take all possible options with best interest to deliver rewards that has been promised to your project backers within time scale committed in your project.
List any business challenges and disclose any possible business risks that are directly relevant to your Project success.
Please note, however, that as per our Community Rules, Project Owners will be expected to deliver all Rewards which are, or were, originally offered to Crowd Funders or Project Backers.
You are expected to update Community Members about any changes in your commitment or change in circumstances in your Project or idea.
We do have an identity verification process and carry out a basic due diligence process. We do collect information from the Members about their Project, the Rewards offered or themselves. All Members that engage in financial transactions will be asked to verify their identity and other information as per legal requirements.
However, we cannot give a guarantee that any of the Community Members are who they say they are, or that the information they provide is accurate, complete or true. Also, we make no recommendation or preference or efforts to specifically represent any Community Members, Projects or Organisations more favourably.
Other than as mentioned above, we do not have any involvement in any arrangements Community Members make with each other through crowd-velocity.co.uk.
We therefore do not accept any responsibility for the nature or quality of a Project or Community Share's performance or any Rewards or returns, nor do we promise that any Community Member, whether Project Owner or Backer, will do as they promise.
The arrangements you make are solely private and the contracts relating to Projects, Pledges, Investments and Rewards are made directly between the individual parties concerned.
Accordingly, when using crowd-velocity.co.uk, you take full responsibility for your arrangements with other Community Members whom you contact and the nature, terms and extent of your arrangements with them and obligations to them.
Your username will be made publicly available in connection with each Project for which you are committed to, or make a Pledge under, the 'Supporters' tab of the Project Profile page, unless you choose to make a Pledge anonymously.
Project Owners' Obligations, you shall:
(a) Apply any funds you receive from Backers solely and directly for the purposes of achieving the Project Goals and use them for no other purposes;
(b) Meet all commitments you make regarding your Project including, but not limited to, delivering all Rewards you offer to Backers;
(c) Use all reasonable endeavours to fulfil each Reward by the estimated fulfilment or delivery date (as applicable) specified by you on the applicable Project Profile page;
(d) Promptly and accurately respond in full and to our satisfaction to all queries, clarifications or requests made by us and/or any Backer;
(e) Not use any personal information we share with you in connection with a Backer for any reason other than fulfilling a Reward or contacting them in relation to the Project for which they have made a Pledge;
(f) Promptly contact and work with Project Funders to reach a mutually satisfactory resolution, which may include refunding their Pledges if you are unable to fulfil any of your commitments (including providing any Rewards);
(g) Comply with all applicable laws and regulations in relation to your Project, your use of Pledges and offer of and fulfilment of Rewards;
(h) Be responsible for paying all fees and collecting and remitting all applicable taxes (including Income Tax and VAT or similar taxes) connected with your use of crowd-velocity.co.uk, the Pledges you receive and the Rewards you offer; and
(i) Not take (or refrain from taking) any action or make any business or other decision in reliance on having your Project posted on crowd-velocity.co.uk, or on having any funds from Pledges until you have the received clear funds in your bank account.
Other Important Terms
The Contract between Project Owners and Project Funders
The Contract relating to the provision of funds from Pledges and the fulfilment of Rewards is made solely between a Project Owner and Project Funders, subject always to these Terms. By making a Pledge, a Project Funder is making an offer to enter into a Contract with the applicable Project Owner provided that the Project Owner is deemed funded at the end of the Funding Period.
The following steps have to take place before a Contract is made between the Funder and the Project Owner:
After signing into their account the Project Funders make a Pledge by submitting their payment details for processing and clicking 'Make a Pledge with Obligation to Pay'. Before making their Pledge, the Project Funder will have the opportunity to review the Pledge amount and any related Reward and, if necessary, to amend these details. The Project Funder will see an on-screen acknowledgement of their Pledge and receive an email confirming details of the Pledge made, to the email address provided by the Backer.
The Project Owner accepts the Project Funder's offer, and a binding Contract is made between them. At the time the Funding Period ends the Project is deemed funded, or if the Total Pledges are equal to or exceed the Funding Target. Accordingly, nothing that we, or the Project Owner says or does, will amount to any acceptance of a Project Funder's offer until this occurs.
Interest on Pledges
Any Interest on Pledges or other funds held by us shall accrue to our benefit and neither Project Owners nor Project Funders shall be entitled to such interest in relation to distributed funds or refunded Pledges.
Publication and sharing of personal information relating to Project Funders with Project Owners
For some Rewards, a Project Owner may need further information from the Project Funders, (e.g. clothing sizes), to enable the Project Creator to deliver certain Rewards. The Project Owner shall request such information directly from a Project Funder after the end of the Fundraising Period for the relevant successful Project.
Cancelling a Pledge and Refund Terms
The Project Funder may cancel a Pledge without charge at any time before the end of the Funding Period for a Project, whether it has reached its Fundraising Target or not. If they do so, you will not be eligible to receive any Rewards in relation to your Pledge.
If a Project for which you have made a Pledge is not deemed funded by the end of the Fundraising Period, and is under the All or Nothing Funding Scheme, your Pledge will be cancelled automatically.
2. When paying using GoCardless, you will be prompted to set up a direct debit mandate from your bank account. If a Project is deemed funded at the end of the Funding Period, GoCardless will debit an amount equivalent to your Pledge and release those funds (less our Project success fees) to the Project Owner. If the Funding Period ends without the Project deemed funded, no funds will be taken from your account in respect of that Project. Please note that we do not at any time receive or hold any GoCardless monies that are contributed by you for distribution to Project Owners. We are therefore not responsible for distributing funds to Project Owners nor for issuing refunds.
3. When paying using PayPal, you will be prompted to make a pre-authorised payment from your PayPal account. If a Project is deemed funded at the end of the Funding Period, PayPal will debit an amount equivalent to your Pledge and release those funds (less our Project success fees) to the Project Owner. If the Funding Period ends without the Project deemed funded, no funds will be taken from your account in respect of that Project. Please note that we do not at any time receive or hold any PayPal monies that are contributed by you for distribution to Project Owners. We are therefore not responsible for distributing funds to Project Owners nor for issuing refunds.
Fees Payable by Project Funders
If a Project Funder chooses to pay a Pledge by using GoCardless, then no processing fees are payable in addition to the Pledge amount.
If committing a Pledge by PayPal, if paying in any other currency other than GBP, there may be additional fees by PayPal at a time of a payment. Refer to PayPal website for details of such fees.
Making a Pledge by Stripe, a processing fee of 20p per Pledge + 1.9% of the Pledge amount will be charged by Stripe for UK issued cards (Visa, Mastercard and American Express) and 2.9% + 20p per Pledge for non-UK issued cards. If paying in a currency other than GBP additional fees by Stripe may apply. Refer to Stripe website for details of such fees.
Backers' Obligations - as a Project Funder, you shall:
(a) Ensure that you have sufficient funds or credit available at the end of the Funding Period of the applicable Project for payment of the Pledge;
(b) Promptly respond to a Project Owner following a request for information reasonably required by the Project Owner to fulfil a Reward that you have chosen at the time you made your Pledge;
(c) Comply with the terms and conditions for the payment processing services provided by our third party payment processors;
(d) Ensure that any funds used to make Pledges will not result in a breach of applicable law; and
(e) May not cancel a Pledge once a Project's Fundraising Period has ended if at the end of that period the Project is deemed funded. This does not affect your statutory or legal rights. Advice about these rights is available from your local Citizens' Advice Bureau or Trading Standards Office.
If you agree to the Community Rules above and wish to engage in Crowd Funding activities on our Community Platform, it is important that you return a signed copy of this document to CrowdVelocity administrators, electronically or by post, as per our contact details on crowd-velocity.co.uk.
By using Crowd-velocity site you are agreeing to act in accordance to our terms above.