Winning Logo Design Contest Prizes as a Beginner: Official Rules (99designs, DesignCrowd, Freelancer)

This guide covers only design contests where you enter once and are paid a prize under fixed rules. It does not cover ongoing 1-to-1 client freelancing. No prize is guaranteed. Most entries do not win, and entries that do not win usually earn nothing.

1. How a design contest works

The flow is similar on all three platforms:

1. A client posts a brief and pays the prize up front.
2. Many designers submit concepts.
3. The client picks a winner.
4. The winner delivers final files and transfers copyright (IP) to the client (the handover).
5. The prize is paid only after the handover.

So the prize pays for "winning + delivering files + transferring rights". 99designs and DesignCrowd state that copyright in non-winning designs stays with the designer.

2. Designer-side costs and fees on the official pages (checked 2026-10-26)

3. Realistic expectations

• Usually one winner (or a few). You can spend hours and earn $0.
• In a contest not marked "Guaranteed", the client may get a refund and pick no winner. The 99designs terms allow a Standard Contest refund within 60 days of payment if no finalists were chosen.
• Even after winning, the handover, review periods and minimum payouts mean the money is not instant.
• The 99designs terms require users to be at least 18 years old.

4. Checklist before you start

• [ ] I checked whether the contest is "Guaranteed"
• [ ] I understand that winning means handing over the copyright
• [ ] I use no stock images, tracing or altered versions of others' logos
• [ ] I can open a payout account (Hyperwallet / Payoneer / PayPal) in my own name
• [ ] I calculated what I actually receive after fees and withdrawal costs

The paid part covers each platform's prize rules (finalist pools, participation payments), handover and payout timelines, key points of the rights-transfer agreements, the stock-image ban, how to read public contest rules, common mistakes and a final checklist.

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1. 99designs

Eligibility and access

• Terms: users must be at least 18.
• Designers must link a Hyperwallet account during the application; Hyperwallet verification requires a government-issued ID, and your profile name must match your bank name.
• Contest packages by level (help-center table):

• Entry Level designers can join up to 15 contests per month.

Prize rules

• Clients can pick up to 6 finalists; the final round usually lasts 3 days. Non-finalists can no longer upload.
• Once finalists are chosen the contest becomes guaranteed. If no winner is selected, the prize is split evenly among the finalists.
• In Gold and Platinum contests, 15% of the total prize is shared among all finalists; the winner gets a share of that plus the rest of the prize.
• If no winner is chosen in a guaranteed contest, the prize is distributed evenly among eligible designers on the 61st day after the contest is locked.

Rights

• The designer owns the copyright until declared the winner. In the Design Handover stage both parties sign the Design Transfer Agreement; once files are uploaded and the transfer is agreed, copyright is treated as transferred.
• The terms say that after a refund or chargeback 99designs may, at its discretion, require the designer to reimburse the Designer Fee.

Payout timeline

1. Client approves the final files (if no action, funds are issued 5 days after the completion request)
2. 5-business-day review period
3. 1–2 business days to Hyperwallet, then automatic transfer to your method (bank 1–5 business days, PayPal 1–2, etc.)

• Minimum payout $25, tracked separately for the US and EU entities.
• No manual withdrawals; payouts are automatic. Hyperwallet sign-up is free, withdrawal fees vary.

2. DesignCrowd

• DesignCrowd retains 15% of project budgets, place payments and participation payments.
• Participation Payment: a small amount (typically $10 or $20) for non-winning entrants. The number depends on budget; entries must meet Design Quality Standards; max one per designer per project. Guaranteed on Committed/Guaranteed projects; may not be paid on refundable projects.
• A place-payment winner cannot also get a participation payment on the same project (unless the customer requests otherwise).
• Payout: Payoneer (preferred) or PayPal, chosen under MyAccount > Payouts; status under Payouts > Payout Logs.
• Copyright: owned by the designer until selected as winner, then transferred to the customer.

Stock image policy (logo, icon, illustration)

Prohibited:

• Stock images or vectors, free or paid, and modified versions of them
• Tracing photos you or the client do not exclusively own; tracing designs from any source
• Fonts with graphical symbols such as Wingdings or Dingbats
• Universal symbols (peace, recycle) as the main element

Using artwork not created exclusively by you results in your account being permanently closed.

3. Freelancer.com contests

• Entering is free. Sealed Entry and Highlight Entry options cost $0.50 each.
• Winner fee: 10% of the prize or $5, whichever is greater, charged when the prize is released.
• Handover: both sign the IP Transfer Agreement → winner uploads files on the handover page → holder has 14 days to review and accept → prize released. If not reviewed within 14 days (with both signatures), it is released automatically.
• Do not email your winning entry; use the handover page only.
• You are paid only in the currency the contest is listed in.
• Holders have a 30-day Money Back Guarantee after closing, but Guaranteed contests are not refundable.

4. Reading the rules of public design contests off-platform

Logo contests run by cities, institutions or companies all have different rules, so this guide gives no figures for any specific one. In the rules, check:

• Prize amount, tax withholding, payment timing and method
• Eligibility (age, nationality/residence, team entries)
• Entry fee (if one is required, verify the organizer again)
• Rights: whether only winners are transferred or the organizer takes rights to all entries
• Grounds for revoking an award (plagiarism, similarity to existing marks, duplicate entries)
• Whether AI-generated work is allowed

5. Common mistakes

1. Spending time only on non-guaranteed contests → refunds can mean no winner
2. Using stock or tracing → permanent closure on DesignCrowd
3. Delivering files off-platform (email) → Freelancer advises against it
4. Counting the prize before fees → DesignCrowd 15%, Freelancer 10%/min $5, withdrawal fees extra
5. Assuming the 99designs $25 minimum combines US and EU earnings
6. Payout account name not matching profile name

6. Final checklist

• [ ] Re-check each fee page right before entering
• [ ] Confirm guarantee status, finalist pool, participation payments
• [ ] Work is 100% your own
• [ ] Payout account in your own name, names match
• [ ] If you win, finish the handover on-platform promptly
• [ ] Ask a professional about reporting prize income in your country