EFFECT OF THE GROWTH OF CROWD FUNDING ON VENTURE CAPITAL AND BANK FINANCING: A CASE STUDY OF UNITED STATES AND UNITED KINGDOM

EFFECT OF THE GROWTH OF CROWD FUNDING ON VENTURE CAPITAL AND BANK FINANCING: A CASE STUDY OF UNITED STATES AND UNITED KINGDOM

Abstract

Traditionally new businesses raise capital from private equity made by the angel investor, venture capitalist, bank loans, personal savings, and contribution from family members or friend. The growth in global integration stemming from advancement in information communication technology has brought along with it the development of new ways of raising organizational capital such as the crowd funding. Given the growth in this soured of finance, its impact on the other sources of capital that are traditionally relied upon by the new businesses cannot be ruled out. It is for this reasons that the research will employ statistical data analysis from reliable sources like the World Bank and IMF to evaluate the impact of this source of funding to the orthodox capital source.

1.0 INTRODUCTION

1.1 Background to the Study

The background to the study section will give general information on crowd funding, bank loans and venture capital as sources of capital. It will evaluate the popularity of each method of funding, types of each capital source and their structures.

1.2 Purpose of the Study

The segment will highlight the purpose that this study will as well as its resourceful ness to various users.

1.3 Theoretical Framework

Different theories such as neoclassical theory of capital…………………..

Get a 10 % discount on an order above $ 100
Use the following coupon code :
BEST16
error: Content is protected !!