Understanding Crowdfunding for Business Funding

Significant amounts of research explore the broadly used and successful rewards based crowdfunding (CF) platforms, including the key motives for both creators and funders. This research examines whether the motives identified by previous researchers for Rewards Based Crowdfunding also apply to peer to peer (P2P) crowdfunding.

Additionally, regulations connected with P2P CF are not clearly defined and enforcement is not well understood. Research includes a review of current laws as well as a focus on participant motives to participate in P2P CF. It also looks at how these motives differ between Crowdfunding and Rewards Based Crowdfunding.

Crowdfunding platforms were then analyzed by characteristic to identify the current qualities of peer to peer platforms. The research shows that though there are some common underlying motives, the differences will demand a new participant approach and a peer to peer Crowdfunding platform that is notably different from those that support Rewards Based Crowdfunding.

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