For Restaurants, GoFundMe Proves a Not-Quick-Enough Fix

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GoFundMe campaigns have raised millions for restaurant workers, but a lot of the money’s stuck in limbo

users to be clear and specific in their fundraiser descriptions about who is withdrawing the money, how that person is related to the beneficiary, and how the money will be transferred to that party or used on their behalf. But since most restaurant staff relief funds have multiple beneficiaries, many have been subjected to increased scrutiny and additional verification.

Bonfiglio had to send GoFundMe’s Trust & Safety team a host of information, including the Google form restaurant employees used to apply for funds and the spreadsheet she’d compiled of their data. Then, she had to sign an attestation form — which listed their name, their fund, and beneficiaries — confirming what she intended to do with the money.

The one fee that GoFundMe does require is for processing transactions, which goes entirely to its payment processor, and it consists of 2.9 percent and a 30-cent fee on each donation. A credit card transaction fee is familiar to anyone in the hospitality business, as it’s industry standard, and while it’s by no means a surprise when that money is pulled from donations upon withdrawal, it can still have a significant impact on the campaign.

 

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