JustGiving profits more than double to £9.4m after switch to voluntary donation model

Charity

Profits at the online fundraising platform JustGiving more than doubled in 2019 after it recorded double digit growth in charity sign-ups, latest figures show. 

The company’s accounts for 2019 show it recorded a profit of nearly £9.4m, a £5.6m increase on the previous year. 

A JustGiving spokesperson said there were a number of key reasons for its performance including the switch to voluntary contribution model in March 2019, which it says was well received by the charity sector, a significant increase in disbursements to charities processed by the platform and double digit growth in charity sign-ups. 

2019 also saw the closure of fellow giving platform BT MyDonate, which shut down in June of that year. 

Blackbaud completed its £95m takeover of JustGiving in October 2017

Giving Ltd is the holding company through which JustGiving used to pay out dividends prior to the acquisition by Blackbaud. 

Giving Ltd has turned over more than £14m profit in 2019, according to the accounts. 

The £14m is an accrued figure which covers the period since 2017 when Blackbaud acquired the company plus the existing balance on purchase, this has been transferred to Blackbaud in one lump sum, the JustGiving spokesperson said. 

The company employs 100 people and spending on staff costs fell slightly to about £9.8m.

The business said it continued to invest in research and development expenditure with the launch of Open Banking technology, Guest checkout and the Strava integration for fundraisers.

Pascale Harvie, president and general manager of Blackbaud’s operations in Europe, said: “The decision to change our fee model demonstrates our commitment to remaining transparent to our donors and championing our fundraisers – as the voluntary contribution model delivers even more money to charities and individuals crowdfunding.  

“We continued to invest in our technology and security during the year to ensure the platform could provide best-in-class service, manage the processing of hundreds of donations every minute and maintain robust compliance procedures.”

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