6533b873fe1ef96bd12d4d8c

RESEARCH PRODUCT

Financing Small Businesses: From Venture Capital to Crowdfunding

Mihaela Herciu

subject

EntrepreneurshipSocial venture capitalfood.ingredientHF5001-6182Social PsychologyEconomics Econometrics and Finance (miscellaneous)foodOrder (exchange)0502 economics and businessBusinessventure capitalFinance050208 financeUnicorncrowdfundingbusiness.industrysmall businesses05 social sciencesstartupVenture capitalSeed moneyunicornsBusiness Management and Accounting (miscellaneous)businessangel investorsCapital marketInitial public offering050203 business & management

description

Abstract Startups and small businesses are facing many challenges in terms of financing their activities. These types of companies do not have the possibility to access capital market or to make IPO or to borrow money from banks like big, mature or well-known companies (who were at their beginnings startups or small businesses). They have to find different sources for financing their ideas/products/services that are in many cases very risky, hazardous or to ambitious. But, fortunately, the financing alternative for these companies have evolved during the last post crisis years. They have possibility to find some investors that are willing to invest in a non-name company by accessing crowdfunding platforms, impress angel investors, or attracting venture capital. All that in order to develop their business and to become a unicorn or to have a great exit.

https://doi.org/10.1515/sbe-2017-0022