SUCCESS FACTORS OF EQUITY CROWDFUNDING AND RURAL BANKS
Downloads
The campaign success factors of Equity Crowdfunding (ECF), such as the size of the project to be financed, profitability, liquidity, the amount of funding successfully funded by investors, the age of the company, and the number of targets achieved, influence company owners to choose bank financing or ECF. This research aims to determine whether ECF can replace the role of banks or complement it. The population of this study is made up of banks and ECF fintech institutions in Indonesia. The sample banks have at least one branch office in a region, while ECF institutions are ECFs that have an official Financial Services Authority (OJK) license. Hypotheses will be tested with logistic regression.The research results indicate that ECF can replace the role of banks, especially for start-up companies, but can also complement the role of banks, especially for MSMEs whose businesses have been running for a long time. This research is expected to provide a new perspective on the role of ECF and banks, especially for small and start-up companies, which are currently growing very rapidly and can support the national economy.
Abrams, E. (2017). Securities Crowdfunding: More than Family, Friends, and Fools? SSRN Electronic Journal. https://doi.org/10.2139/ssrn.2902217.
Ahlers, G. K. C., Cumming, D., Günther, C., & Schweizer, D. (2015). Signaling in Equity Crowdfunding. Entrepreneurship: Theory and Practice, 39(4), 955-980. https://doi.org/10.1111/etap.12157
Balyuk, T., Berger, A. N., & Hackney, J. (2020). What is Fueling FinTech Lending? The Role of Banking Market Structure. SSRN Electronic Journal, June. https://doi.org/10.2139/ssrn.3633907
Bapna, S., & Ganco, M. (2021). Gender gaps in equity crowdfunding: Evidence from a randomized field experiment. Management Science, 67(5), 2679-2710. https://doi.org/10.1287/mnsc.2020.3644
Blaseg, D., Cumming, D., & Koetter, M. (2021). Equity Crowdfunding: High-Quality or Low-Quality Entrepreneurs? Entrepreneurship: Theory and Practice, 45(3), 505-530. https://doi.org/10.1177/1042258719899427
Blaseg, D., & Koetter, M. (2016). Crowdfunding and bank stress. In New Economic Windows. https://doi.org/10.1007/978-3-319-42448-4_3
Boitan, I. A. (2016). Crowdlending and Financial Inclusion - Evidence from EU Countries. Economic Alternatives, 4, 418-432.
Bradley, S., & Taylor, J. (2002). The effect of the quasi-market on the efficiency-equity trade-off in the secondary school sector. Bulletin of Economic Research, 54(3), 295-314. https://doi.org/10.1111/1467-8586.00154
Bretschneider, U., & Leimeister, J. M. (2017). Not just an ego-trip: Exploring backers' motivation for funding in incentive-based crowdfunding. Journal of Strategic Information Systems, 26(4), 246-260. https://doi.org/10.1016/j.jsis.2017.02.002
Carlini, F., Del Gaudio, B. L., Porzio, C., & Previtali, D. (2022). Banks, FinTech and stock returns. Finance Research Letters, 45(May), 102252. https://doi.org/10.1016/j.frl.2021.102252
Cholakova, M., & Clarysse, B. (2015). Does the Possibility to Make Equity Investments in Crowdfunding Projects Crowd Out Reward-Based Investments? Entrepreneurship: Theory and Practice, 39(1), 145-172. https://doi.org/10.1111/ETAP.12139
Cohen, M. (2017). Crowdfunding as a Financing Resource for Small Businesses This is to certify that the doctoral study by.
Cole, R. A., Cumming, D. J., & Taylor, J. (2019). Does FinTech Compete with or Complement Bank Finance? SSRN Electronic Journal. https://doi.org/10.2139/ssrn.3302975
Cole, R. A., & White, L. J. (2017). When time is not on our side: The costs of regulatory forbearance in the closure of insolvent banks. In Journal of Banking and Finance (Vol. 80). Elsevier B.V. https://doi.org/10.1016/j.jbankfin.2017.03.010
Cumming, D. J., & Johan, S. A. (2014). Venture Capital and Private Equity Contracting: An International Perspective: Second Edition. Venture Capital and Private Equity Contracting: An International Perspective: Second Edition, 1-756. https://doi.org/10.1016/C2012-0-06081-4
Cumming, D., Meoli, M., & Vismara, S. (2021). Does equity crowdfunding democratize entrepreneurial finance? Small Business Economics, 56(2), 533-552. https://doi.org/10.1007/s11187-019-00188-z
Durdenić, K. (2017). Crowdfunding - Croatian legal perspective and comparison to other sources of financing. Public Sector Economics, 41(2), 259-287. https://doi.org/10.3326/pse.41.2.5
Eldridge, D., Nisar, T. M., & Torchia, M. (2021). What impact does equity crowdfunding have on SME innovation and growth? An empirical study. Small Business Economics, 56(1), 105-120. https://doi.org/10.1007/s11187-019-00210-4
Ellman, M., & Hurkens, S. (2019). Fraud tolerance in optimal crowdfunding. Economics Letters, 181, 11-16. https://doi.org/10.1016/j.econlet.2019.04.015
Erel, I. (2020). Working Paper Series Charles A. Dice Center for Research in Financial Economics Does FinTech Substitute for Banks? Evidence from the Paycheck Protection Program Does FinTech Substitute for Banks? Evidence from the Paycheck Protection Program ∗ Isil Ere.
Fama, E. F., & French, K. R. (2002). The Society for Financial Studies Testing Trade-Off and Pecking Order Predictions about Dividends and Debt. Source: The Review of Financial Studies, 15(1), 1-33.
Gartner, W. B., Frid, C. J., & Alexander, J. C. (2012). Financing the emerging firm. Small Business Economics, 39(3), 745-761. https://doi.org/10.1007/s11187-011-9359-y
Ghazouani, T. (2013). The Capital Structure Through the Trade-Off Theory: Evidence from Tunisian Firms. International Journal of Economics and Financial Issues, 3(3), 625-636.
Gubler, Z. J. (2014). Reconsidering the Institutional Design of Federal Securities Regulation. William & Mary Law Review, 56(2), 409-466. http://www.euppublishing.com/doi/abs/10.3366/ajicl.2011.0005
Hair, J., Anderson, R., Babin, B., & Black, W. (2010). Multivariate Data Analysis.pdf. In Australia: Cengage: Vol. 7 edition (p. 758).
Hervé, F., Manthé, E., Sannajust, A., & Schwienbacher, A. (2019). Determinants of individual investment decisions in investment-based crowdfunding. Journal of Business Finance and Accounting, 46(5-6), 762-783. https://doi.org/10.1111/jbfa.12372
Hervé, F., & Schwienbacher, A. (2018). Crowdfunding and Innovation. Journal of Economic Surveys, 32(5), 1514-1530. https://doi.org/10.1111/joes.12274
Hornuf, L., & Neuenkirch, M. (2017). Pricing shares in equity crowdfunding. Small Business Economics, 48(4), 795-811. https://doi.org/10.1007/s11187-016-9807-9
Hornuf, L., & Schmitt, M. (2016). Success and failure in equity crowdfunding. CESifo DICE Report, 14(2), 16-22.
Hornuf, L., & Schwienbacher, A. (2017). Should securities regulation promote equity crowdfunding? Small Business Economics, 49(3), 579-593. https://doi.org/10.1007/s11187-017-9839-9
Ibrahim, D. M. (2015). Equity crowdfunding: A market for lemons? Minnesota Law Review, 100(2), 561-607. https://doi.org/10.2139/ssrn.2539786
Itenberg, O., & Smith, E. E. (2017). Syndicated Equity Crowdfunding: The Trade-Off between Deal Access and Conflicts of Interest. SSRN Electronic Journal. https://doi.org/10.2139/ssrn.2933822
Jahanzeb, A., Bajuri, N. H., & Ghori, A. (2015). Market power versus capital structure determinants: Do they impact leverage? Cogent Economics and Finance, 3(1), 1-9. https://doi.org/10.1080/23322039.2015.1017948
Jegers, M. (2018). Capital structure. Handbook of Research on Nonprofit Economics and Management: Second Edition, 15(2), 87-96. https://doi.org/10.4337/9781785363528.00012
Jenik, I., Timothy, L., & Nava, A. (2017). Crowdfunding and Financial Inclusion. Cgap (Working Paper), March, 1-48.
Jeppsson, H. (2018). Initial public offerings, subscription precommitments and venture capital participation. Journal of Corporate Finance, 50, 650-668. https://doi.org/10.1016/j.jcorpfin.2018.01.010
Johan, S., & Zhang, Y. (2020). Quality revealing versus overstating in equity crowdfunding. Journal of Corporate Finance, 65(September), 101741. https://doi.org/10.1016/j.jcorpfin.2020.101741
Kirby, E., & Worner, S. (2014). Crowdfunding: An infant industry growing fast. Iosco, 1-62. http://www.iosco.org/library/pubdocs/pdf/IOSCOPD459.pdf%0Ahttp://www.iosco.org/research/pdf/swp/Crowd-funding-An-Infant-Industry-Growing-Fast.pdf
Kukurba, M., Waszkiewicz, A. E., Salwin, M., & Kraslawski, A. (2021). Co-created values in crowdfunding for sustainable development of enterprises. Sustainability (Switzerland), 13(16). https://doi.org/10.3390/su13168767
Larsson, T., & Truong, S. Le. (2022). Pecky entrepreneurs: Why do growth-oriented entrepreneurs choose equity-based crowdfunding? A multiple-case study about crowdfunding. May. https://www.diva-portal.org/smash/record.jsf?pid=diva2:1672385
Li, X., Liu, B., & Tian, X. (2017). Policy Uncertainty and Household Credit Access: Evidence from Peer-to-Peer Crowdfunding. SSRN Electronic Journal. https://doi.org/10.2139/ssrn.3084388
Lombardi, R., Trequattrini, R., & Russo, G. (2016). Innovative start-ups and equity crowdfunding. International Journal of Risk Assessment and Management, 19(1-2), 68-83. https://doi.org/10.1504/IJRAM.2016.074436
Mamonov, S., & Malaga, R. (2019). Success factors in Title II equity crowdfunding in the United States. Venture Capital, 21(2-3), 223-241. https://doi.org/10.1080/13691066.2018.1468471
Miglo, A. (2022). Crowdfunding and bank financing: substitutes or complements? Small Business Economics, 59(3), 1115-1142. https://doi.org/10.1007/s11187-021-00571-9
Mokhtarrudin, A., Masrurah, I. M. K., & Muhamad, S. C. R. (2017). Crowdfunding as a funding opportunity for youth start-ups in Malaysia. Pertanika Journal of Social Sciences and Humanities, 25(June), 139-153.
Mollick, E. (2014). The dynamics of crowdfunding: An exploratory study. Journal of Business Venturing, 29(1), 1-16. https://doi.org/10.1016/j.jbusvent.2013.06.005
Moysidou, K., & Hausberg, J. P. (2020). In crowdfunding we trust: A trust-building model in lending crowdfunding. Journal of Small Business Management, 58(3), 511-543. https://doi.org/10.1080/00472778.2019.1661682
Nahata, R., Hazarika, S., & Tandon, K. (2014). Success in global venture capital investing: Do institutional and cultural differences matter? Journal of Financial and Quantitative Analysis, 49(4), 1039-1070. https://doi.org/10.1017/S0022109014000568
Ralcheva, A., & Roosenboom, P. (2020). Forecasting success in equity crowdfunding. Small Business Economics, 55(1), 39-56. https://doi.org/10.1007/s11187-019-00144-x
Robb, A. M., & Robinson, D. T. (2014). The capital structure decisions of new firms. Review of Financial Studies, 27(1), 153-179. https://doi.org/10.1093/rfs/hhs072
Salim, M., & Kassim, S. (2019). Awareness towards Crowdfunding as an Alternative Financing Mechanism among Youth Entrepreneurs. 292, 358-363. https://doi.org/10.2991/agc-18.2019.57
Shalihah, F., Marwa, H. M., Alwajdi, F., Putri, U. T., & Putranti, D. (2022). Equity Crowdfunding in Indonesia. Crowdfunding for Entrepreneurs, 63-84. https://dspace.uii.ac.id/bitstream/handle/123456789/29332/13931029 Muh Awal Satrio Nugroho.pdf?sequence=1&isAllowed=y
Signori, A., & Vismara, S. (2016). Returns on Investments in Equity Crowdfunding Andrea Signori. Ssrn, 1-43. https://papers.ssrn.com/sol3/papers.cfm?abstract_id=2765488
The European Parliament and of the Council. (2020). REGULATION (EU) 2020/1503 of The European Parliament and of The Council of October 7, 2020 on European crowdfunding service providers for business. Official Journal of the European Union, 2019(July), 1-49. https://eur-lex.europa.eu/legal-content/EN/TXT/HTML/?uri=CELEX:32020R1503&from=EN%0Ahttps://eur-lex.europa.eu/legal-content/EN/TXT/PDF/?uri=OJ:L:2020:347:FULL&from=EN
Titman, S. (2013). Modigliani and Integration and. 31(1), 101-115.
Vismara, S. (2016). Equity Retention and Social Network Theory in Equity Crowdfunding Silvio Vismara * University of Bergamo. Small Business Economics, 1-25. http://ssrn.com/abstract=2654325
Vismara, S., Benaroio, D., & Carne, F. (2017). Gender in entrepreneurial finance: Matching investors and entrepreneurs in equity crowdfunding. Gender and Entrepreneurial Activity, 2013, 271-288. https://doi.org/10.4337/9781785364747.00015
Walthoff-Borm, X., Schwienbacher, A., & Vanacker, T. (2018). Equity crowdfunding: First resort or last resort? Journal of Business Venturing, 33(4), 513-533. https://doi.org/10.1016/j.jbusvent.2018.04.001
Wenzlaff, K., Odorović, A., Ziegler, T., & Shneor, R. (2020). Crowdfunding in Europe: Between Fragmentation and Harmonization. In Advances in Crowdfunding. https://doi.org/10.1007/978-3-030-46309-0_16
X T H E D I T I O N Richard A Brealey, S. I., Myers Gordon Y Billard, S. C., & York San Francisco St Louis Bangkok Bogota Caracas Lisbon London, N. (2008). of CORPORATE FINANCE VISITING PROFESSOR OF FINANCE LONDON BUSINESS SCHOOL Madrid Mexico City Milan New Delhi Seoul Singapore Sydney Taipei Toronto.
Yasar, B. (2021). The new investment landscape: Equity crowdfunding. Central Bank Review, 21(1), 1-16. https://doi.org/10.1016/j.cbrev.2021.01.001.
Copyright (c) 2025 Sumiyati Sumiyati
This work is licensed under a Creative Commons Attribution-NonCommercial-ShareAlike 4.0 International License.
Authors who publish with Berkala Akuntansi dan Keuangan Indonesia agree to the following terms:
The journal allows the author to hold the copyright of the article without restrictions.
The journal allows the author(s) to retain publishing rights without restrictions
The legal formal aspect of journal publication accessibility refers to Creative Commons Attribution (CC BY NC SA)
BAKI (Berkala Akuntansi dan Keuangan Indonesia) is licensed under a Creative Commons Attribution-NonCommercial-ShareAlike 4.0 International License.
