The aim of this paper is to evaluate whether crowdfunding is a realistic form of financing for startups in Europe. Therefore, theoretical principals of startup financing, as well as crowdfunding and its different dimensions, have to be scrutinized further. Moreover, a general overview of the European startup and crowdfunding market has to be provided. This paper focuses on commercial startups located in the member states of the European Union.
This paper begins with an introduction of the theoretical principles of startup financing. After a brief definition of startups, the occasions for obtaining financing are pointed out in the context of the life cycle model of a venture. In this regard, traditional forms of startup financing and the related issues are analysed. A more detailed look is also taken on the issue of information asymmetry.
Chapter 3 deals with crowdfunding as a source of financing. After an overview of the evolution of crowdfunding, this concept is examined in greater detail. Specifically, the definition and basics of crowdfunding, the main actors and the different forms of crowdfunding are presented. Next, this chapter deals with a typical process of establishing and running a crowdfunding campaign. The end of this chapter deals with the determinants of success of a crowdfunding campaign.
In Chapter 4, the European startup and crowdfunding markets are evaluated. Besides facts on these markets, this chapter also deals with insights into the European legal framework in the field of crowdfunding. Moreover, relevant platforms in Europe are presented. The chapter ends with a practical example of a crowdfunding campaign in Europe.
In Chapter 5, traditional forms of financing are compared to the relevant types of crowdfunding in Europe. After equity-based crowdfunding is compared to BAs and VCs, lending-based crowdfunding is compared to bank financing. The end of the chapter deals with the comparison of reward-based crowdfunding to financial boot-strapping.
In the last chapter, the investigative results are summarized and the achievement of the objective is evaluated. The paper concludes with a prospect of the development of crowdfunding in Europe.
Inhaltsverzeichnis
1 Introduction
1.1 Problem Description
1.2 Objective
1.3 Scope of Work
2 Startups – Financing and Information Asymmetry
2.1 Definition and Characteristics of Startups
2.2 Startup Financing
2.2.1 Occasions for Financing on the Basis of the Life Cycle Model
2.2.2 Traditional Forms of Financing for Startups
2.2.2.1 Financial Bootstrapping
2.2.2.2 Business Angels
2.2.2.3 Venture Capital
2.2.2.4 Bank Financing
2.2.2.5 Issues regarding Startup Financing
2.3 Information Asymmetry
3 Crowdfunding as a Source of Financing
3.1 Historical Background and Evolution
3.2 Crowdfunding
3.2.1 Definition and Basics
3.2.2 Main Actors
3.2.3 Forms of Crowdfunding
3.2.4 Procedure of a Campaign
3.3 Determinants of Success
4 Startup Financing and Crowdfunding in Europe
4.1 Market Overview
4.1.1 Facts and Figures
4.1.2 Legal Framework
4.1.3 Relevant Platforms
4.2 Example Campaign: Panono
5 Crowdfunding vs. Traditional Forms of Financing
5.1 Equity Crowdfunding vs. Business Angels vs. Venture Capitalists
5.2 Lending-based Crowdfunding for Business vs. Bank Financing
5.3 Reward-based Crowdfunding vs. Financial Bootstrapping
6 Conclusion
6.1 Target achievement
6.2 Prospects
Zielsetzung & Themen
Diese Arbeit untersucht die Eignung von Crowdfunding als alternative Finanzierungsquelle für Startups in Europa im Vergleich zu klassischen Methoden, um die Finanzierungslücke bei jungen Unternehmen zu schließen.
- Theoretische Grundlagen der Startup-Finanzierung und Informationsasymmetrie
- Entwicklung, Formen und Akteure des Crowdfunding-Marktes
- Marktübersicht und rechtlicher Rahmen in Europa
- Vergleichende Analyse von Crowdfunding und traditionellen Finanzierungsinstrumenten
- Praxisbeispiel einer erfolgreichen Crowdfunding-Kampagne (Panono)
Auszug aus dem Buch
3.1 Historical Background and Evolution
The phenomenon of Crowdfunding dates back to the 19th century, when France donated the Statue of Liberty to the United States as a symbol of friendship between those two countries. However, after the statue arrived in the US, the American Committee of the Statue of Liberty ran out of money. The committee’s task was to complete the pedestal and assemble the statue. Joseph Pulitzer, the publisher of the magazine “New York World”, took the initiative and used his magazine to appeal the readers to donate small amounts of money for the completion of the pedestal. In less than six months, Pulitzer raised over $100,000 from 125,000 people and the American Committee of the Statue of Liberty could officially complete the pedestal.77 This was the first time characteristics of Crowdfunding have been identified and recorded, long before the actual name “Crowdfunding” had been coined.
Brian Camelio, who launched the website “ArtistShare” in 2003, took the next big step for Crowdfunding. ArtistShare enables artists to share their creative work and fans have the possibility to fund this artistic work via the Internet. Backers receive e.g. limited edition recordings, backstage access to events or even a credit reference listing for the final product. ArtistShare is considered to be the first Internet platform offering the service which we refer to as Crowdfunding today.78 The Internet, which enables entrepreneurs of all varieties to reach a large amount of people, has been essential in the development of Crowdfunding. More precisely, the proliferation of Crowdfunding has in part created what is now known as Web 2.0. The term “Web 2.0” traces its origin to 2003, when the magazine “CIO” published the article “2004 – The Year of Web Services” in its US edition “Fast-Forward 2010 – The Fate of IT”.
Zusammenfassung der Kapitel
1 Introduction: Einführung in die Problematik der Startup-Finanzierung, die Forschungsziele und den Umfang der vorliegenden Bachelor-Thesis.
2 Startups – Financing and Information Asymmetry: Analyse der Finanzierungsbedarfe von Startups im Lebenszyklusmodell sowie der Herausforderungen durch Informationsasymmetrien.
3 Crowdfunding as a Source of Financing: Darstellung der historischen Entwicklung, Definitionen, Hauptakteure und Abläufe von Crowdfunding-Kampagnen.
4 Startup Financing and Crowdfunding in Europe: Untersuchung der Marktgegebenheiten, des rechtlichen Rahmens und relevanter Plattformen in europäischen Ländern, ergänzt durch ein Praxisbeispiel.
5 Crowdfunding vs. Traditional Forms of Financing: Gegenüberstellung von Crowdfunding-Formen mit klassischen Finanzierungsoptionen hinsichtlich Kosten, Aufwand und Eignung.
6 Conclusion: Zusammenfassung der Ergebnisse hinsichtlich der Zielerreichung sowie ein Ausblick auf die zukünftige Entwicklung des Marktes.
Schlüsselwörter
Crowdfunding, Startup, Finanzierung, Equity Crowdfunding, Lending-based Crowdfunding, Reward-based Crowdfunding, Venture Capital, Business Angels, Informationsasymmetrie, Kapitalmarkt, Europäische Union, Finanzierungslücke, Marktanalyse, Startup-Finanzierung, Risikokapital
Häufig gestellte Fragen
Worum geht es in dieser Arbeit grundsätzlich?
Die Arbeit analysiert kritisch, ob Crowdfunding eine realistische und effiziente alternative Finanzierungsform für Startups in Europa darstellt.
Was sind die zentralen Themenfelder?
Die Arbeit deckt die theoretischen Grundlagen, die verschiedenen Arten des Crowdfunding (Equity, Lending, Reward), den europäischen Markt sowie den rechtlichen Rahmen ab.
Was ist das primäre Ziel der Untersuchung?
Das Hauptziel ist die Bewertung der Eignung von Crowdfunding als Alternative zu traditionellen Finanzierungsinstrumenten für kommerzielle Startups.
Welche wissenschaftliche Methode wird verwendet?
Der Autor führt eine theoretische Analyse durch, vergleicht Marktdaten und illustriert die Anwendung anhand von Fallbeispielen.
Was wird im Hauptteil behandelt?
Der Hauptteil befasst sich detailliert mit Startup-Finanzierungstheorien, den Mechanismen von Crowdfunding-Kampagnen sowie einem direkten Kosten-Nutzen-Vergleich mit traditionellen Finanzierungsformen.
Welche Schlüsselwörter charakterisieren die Arbeit?
Zu den wichtigsten Begriffen zählen Crowdfunding, Equity-Finanzierung, Startup, Finanzierungslücke, Risikokapital und Informationsasymmetrie.
Wie unterscheidet sich Crowdfunding von klassischem Bankkredit?
Crowdfunding ermöglicht den Zugang zu Kapital ohne hohe Anforderungen an klassische Sicherheiten, erfordert jedoch oft einen höheren Aufwand bei der Kampagnenpräsentation und Kommunikation.
Welche Rolle spielt die Informationsasymmetrie?
Die Informationsasymmetrie ist ein zentrales Hindernis bei der Startup-Finanzierung; Crowdfunding-Plattformen versuchen durch Signalling und Transparenz, das Vertrauen der Investoren zu stärken.
Welche Bedeutung hat das Beispiel Panono?
Das Beispiel verdeutlicht den Prozess einer EBC-Kampagne und zeigt sowohl die Erfolge in der Kapitalbeschaffung als auch Herausforderungen bei der Umsetzung und Kommunikation.
- Citation du texte
- Lukas Schmitz (Auteur), 2016, A Critical Analysis of Crowdfunding as an Alternative Form of Financing for Startups in Europe, Munich, GRIN Verlag, https://www.grin.com/document/323082
