Crowdfunding Offers Democratisation Of Finance


CrowdGen1Smaller

Today we continue with a further report on the newly published academic report Financial innovation today: Towards economic resilience.

The report concerns alternative finance, including crowdfunding, community shares and peer-to-peer lending, and is authored by Mark Davis and Tim Braunholtz-Speight from the Bauman Institute in Leeds. One of the issues examined is the "democratisation" of finance.

New Start magazine summarises one element thus:

M&CLogo

"One thing that would-be fundraisers should bear in mind is that, no matter what financial model you adopt, this is not 'easy money'; you can't just put your project online and wait for the cash to roll in! Like any other fundraising drive, you have to promote relentlessly and creatively. However, this can bring many non-financial benefits in the form of engagement with supporters, stakeholders, and often the 'end-user' as your intended market.

"This engagement with the public is in fact at the core of alternative finance. Many interviewees saw themselves as democratising finance through giving the general public greater access to a range of financial activities that were previously the preserve of a small elite. This is not full financial inclusion, as participation in online alternative finance platforms requires access to the internet and a bank account. Nor do most models as yet give funders much democratic say in the organisations they fund (community shares are a notable exception here). But in general, AltFin gives fundraising organisations an exciting opportunity to connect more directly with the people that fund them."

M&CLogo

We have several new loans in the pipeline, due to appear on site shortly. Learn more about how to lend, and the risks that come with lending, by visiting our Knowledge Hub.



FOLLOW MONEY&CO. ON TWITTER

Search news

You may put double quotes around your search to search for literals. Max. 4 words inside quotes (dashed words count as one word).

Allowed symbols: " ' & -

More news

2019
AugustJuly
June
May
April
March
February
January
2018
DecemberNovemberOctoberSeptemberAugust
July
June
May
April
March
February
January
2017
December
November
October
September
August
July
June
May
April
March
February
January
2016
December
November
October
September
August
July
June
May
April
March
February
January
2015
December
November
October
September
August
July
June
May
April
March
February
January
2014
December
November
October
September
August
July
June
MayMarchFebruary

Search blogs

You may put double quotes around your search to search for literals. Max. 4 words inside quotes (dashed words count as one word).

Allowed symbols: " ' & -

More from blogs

2019
2018
2017
2016
NovemberOctoberSeptemberAugustJulyJuneMayMarchFebruaryJanuary
2015
DecemberNovemberSeptemberAugustJulyJuneMayAprilMarchFebruaryJanuary
2014
DecemberNovemberOctoberSeptemberAugustJulyJune



Disclaimer: Money&Co.™ is the trading name of Denmark Square Limited, Company Number 08561817, registered in England & Wales, authorised and regulated by the Financial Conduct Authority (FCA). The company is identified on the Financial Services Register under Reference Number 727325. The registered office is 58 Glentham Road, Barnes, London, SW13 9JJ where the register of Directors may be inspected. Denmark Square Limited (ISA manager reference number Z1932) manages the Money&Co. Innovative Finance ISA.