I watched an interview Felicia Day, creator of the Guild. She said at one point she just put a paypal button on the Guild website, and raised a fair amount of money.

Wouldn't those people technically be investors? She took the money and made the project. I believe now they sell dvds, t-shirts, etc. Couldn't anyone who sent in money claim some of the profits?

My understanding is if someone gives you money for your project, they are investors who have some claim on your project.

If you specifically 'sell' it as a donation towards a certain project, yes.
If it's "Here's some money, do what you want" then no.
My $.02

Since when does the term "Donation" imply investment? Shareware software sites often have a Donate button, PayPal or otherwise. Likewise charities.

If Felicia is doing the Guild as a non-profit charity, then it sounds like you're making 'donation' to a charity.

I don't know if The Guild has been organized under 501(c) guidelines, but not as far as I know.

Not that I'm complaining about the Guild, it's great and I love it. Wish them all the success.

It just struck me that I've been in a lot of discussions in this board about this issue, and the opinion is always put forward that you have to be really careful about how you organize the finances. Sounds like Felicia just put up a paypal button and got a lot of money. If she doesn't have a 'Guild' company, is it her personal (and taxalbe) income? If there is a Guild LLC, is it taxable income to the company?

I'd love to put a paypal button up for my web series, but it sounds like there are a pantload of potential legal issues.