Cash Waqf-Based Crowdfunding Model for Empowering Single Mother Entrepreneurs in Malaysia

Abstract

This paper aims to explore the potential of cash waqf-based crowdfunding as a source to obtain funds for single mother entrepreneurs. It has been discovered that single mothers are physically, emotionally, and financially struggling to support their lives and perhaps their families. Based on the library research, this study applies the inductive approach and descriptive method in analysing with related works of literature. The finding acknowledges that crowdfunding is frequently argued as a viable alternative to traditional financial institutions. Nevertheless, this approach appears to be different for single mother entrepreneurs, also known as micro-enterprises, because the majority of them lack training, skills and management for attracting investors to support their business. As a result, the findings proposed a unique model of cash waqf-based crowdfunding fund for single mother entrepreneurs. Although this study is based on library research, its findings may not be applicable in terms of the theoretical aspects. Meanwhile, it still creates valuable contributions in accordance of developing a practical model of Islamic crowdfunding particularly cash waqf-based for single mother entrepreneurs in Malaysia. The special model of Islamic crowdfunding that is proposed by this study can potentially support single mother entrepreneurs, if it is applied to a real platform that may reduce the burden of the government bureaucracy because most of them lack financial constraints. Furthermore, this study expands the potential for the application of cash waqf-based crowdfunding as a practical solution for single mother entrepreneurs in Malaysia. Although Islamic crowdfunding is not a new research topic and applications of Islamic crowdfunding as a tool, empirical studies in this area are still limited, specifically investigating the use of Islamic crowdfunding. Despite the fact that this study is conceptual, it provides a practical model which can be utilised as a crowdfunding tool to empower entrepreneurs, especially single mothers.