Exploring the Determinants of Crowdfunding: The Influence of the Banking System

摘要

In the wake of the recent global crisis, all indicators show that small and medium enterprises (SMEs) are having serious difficulties in financing their projects from traditional intermediary institutions. Crowdfunding appears as one of the most promising alternative sources of external financing for SMEs, but the importance of distinct cultural and economic traditions at a national level results in strong cross-country heterogeneity of crowdfunding in Europe. The nature of the banking system in a given nation helps us to understand the prevailing business model of its crowdfunding industry.