Analysis of the effectiveness of financing projects using crowdfunding

Abstract

Purpose – analysis of key performance indicators (KPIs) for the success of innovative projects that try to raise funds indirectly through crowdfunding platforms. Research Methodology. The interdisciplinary method of discourse analysis and systematic approach were used in the context of this work; the comparative method allowed to determine the optimal approach to the problem. Scientific novelty. The field of financial support lacks tools to encourage market participants to provide them with ideas and projects that can be financed through crowdfunding. Conclusions. The following indicators influence the creation of a viable crowdfunding mechanism and the growth of fundraising: narrative (or previous history), a clear goal and planned duration of the project; investment in communication schemes and visualization of advertising, and third-party support (positive feedback) focus on the pledge process rather than on the financial goal; distribution of crowdfunding into structured categories. At the same time, the success of crowdfunding is not tied to the size of the reward and any location. Key words: crowdfunding; key performing factors; alternative financin