Ko-fi was founded in 2012 by Nigel Pickles as a tool for creating a one-page website to accept voluntary donations, such as buying a coffee. Since then, it has expanded into a platform for selling products and services and managing memberships.
What is Ko-fi?
Ko-fi is an ecommerce platform that allows creators to get paid through donations, memberships, tips, and digital product sales from their fans. The name Ko-fi sounds similar to coffee, which is why most creators accept tip-sized donations, as it’s meant to be enough for a cup of coffee.
How does Ko-fi work?
Ko-fi works by letting you create an account so your fans can support your work. The platform gives you the tools you need to start earning money online. You can connect both your PayPal and Stripe accounts to accept payments on the platform and process transactions.
The tool allows you to customize your colors, images, and links. You can also embed the tool on your website. From there, you’ll share the link in your social media bio, email newsletter, or wherever your fans reside.
You can open a shop to sell products, accept payment for commissions or custom work, or own a membership site where you share exclusive content with your fans.
You’ll set the prices and terms for every sale you make. You can manage shipments, refunds, and customer communication independently.
What you need to know about selling on Ko-fi
Ko-fi only allows you to receive payments from PayPal or Stripe. However, there are over 100 payment gateways worldwide. Being flexible enough to accept more payment options from international users will allow you to earn more. You can compare Ko-fi and Payhip as examples of competing tools with more payment options.
This platform isn’t a merchant of record; you are. That means you’ll need to manage the international tax laws as you accept payments from customers around the world. You will need to add VAT, GST, and other taxes wherever you are registered. You need to collect and remit all taxes that apply to you.
It isn’t a platform for you to find new people to find you and follow your work. You’ll need to bring your audience to the platform. Without an audience, you won’t find value in the product, as you’ll need to grow your following independently to keep making money as a creator on this tool.
To maximize your capabilities on the platform, you’ll need to add integrations and tools, such as Discord, Zapier, and more. Unfortunately, these tools often have fees, which can make running a business more costly. Ko-fi doesn’t have built-in tools for live stream donations, automation, and more.
Is Ko-fi the best platform to sell products?
Ko-fi isn’t the best platform to sell products; Payhip is. On Payhip, you’ll be able to sell memberships, courses, digital downloads like ebooks, software, physical products, and even coaching services. You’ll build a fully customizable website in minutes, with ease. Plus, you won’t have to worry about VAT or sales tax as they report and pay it on your behalf. All the tools you’ll need will be found on this all-in-one platform, allowing you to skip the expensive fees involved with integrations. To start selling products online, sign up for free.