Study Notes

Crowdfunding (Financial Economics)

Level:
A-Level
Board:
AQA, Edexcel, OCR, IB, Eduqas, WJEC

Last updated 21 Mar 2021

Crowdfunding is a form of equity finance that has grown rapidly in the USA and the UK in particular.

Crowdfunding involves the collective effort of a large number of individuals who network and pool small amounts of their capital to finance a new or existing business venture

Social causes remain the most active source of crowdfunding activity.

Crowdfunding market participants include Indiegogo (launched 2008) which has funded more than 275,000 campaigns, and Kickstarter (launched 2009) which has funded around 100,000 projects globally.


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