Crowdfunding as an Alternative Source of Financing
DOI:
https://doi.org/10.46793/Rev26113.139MKeywords:
Crowdfunding, financing, financial opportunitiesAbstract
Crowdfunding represents a model of collective financing of various types of corporate projects, as well as projects initiated by public and non-governmental organizations. Over the past decade, significant financial resources have been allocated worldwide through this model, funding a wide range of projects, from traditional profit-oriented corporate ventures to initiatives led by local governments, individuals, or even informal groups aimed at addressing public needs. Investor motivations vary considerably, ranging from profit generation, through non-profit financing in the form of interest-free loans, to purely donation-based contributions. This model of financial resource allocation has recently and cautiously emerged in our region. Considering the characteristics of the local economy, project availability, and investor capacity, it is important to support financing through this mechanism. This model also represents a means of fostering overall community development, facilitating the allocation of financial resources and transforming money into capital. The aim of this paper is to expand knowledge about crowdfunding, with particular emphasis on its potential and the challenges that accompany it.
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