as a Model of Financing a Compan Cover Image

Crowdfunding as a Model of Financing a Compan
Crowdfunding as a Model of Financing a Compan

Author(s): Elżbieta Rak-Młynarska
Subject(s): Micro-Economics, Socio-Economic Research
Published by: Wydawnictwo Wyższej Szkoły Finansów i Prawa w Bielsku-Białej
Keywords: alternative finances; equity crowdfunding; crowdinvesting

Summary/Abstract: Access to finance is a key issue especially for companies in the early stages of development. Bank credit is not always available and own funds are often barely enough to start a business. The answer to this challenge may be found in some innovative solutions for raising financial resources for business ventures. These solutions have originated thanks to rapid development of information technology. Crowdfunding i.e. financing through small amounts paid by many individuals, is one example of these solutions. The aim of the paper is to present the essence of crowdfunding and the characteristics which differentiate it from other funding models. The paper also offers a presentation of the Internet platforms supporting investors in Poland and in other countries in the world. The main factors that hamper the development of crowdfunding are also indicated.

  • Issue Year: 2017
  • Issue No: 2
  • Page Range: 92-107
  • Page Count: 16
  • Language: English