Alternative Sources Of Funding Research Articles

EQUITY CROWDFUNDING AS AN ALTERNATIVE FUNDING FOR MARITIME INFRASTRUCTURE DEVELOPMENT

The limited government funds necessitate the need for alternative financing for maritime infrastructure development. The purpose of this research is to explore the potential of equity crowdfunding as an alternative funding source for maritime infrastructure development. The results of this study conclude that equity crowdfunding has significant potential as an alternative financing method for maritime infrastructure. However, its current utilization is primarily for small-scale infrastructure construction or development. This is due to regulations limiting the maximum amount of funds that can be raised.

Evaluation of the Productivity Performance of BPR for Economic Resilience in East Java

The Rural Bank (BPR) plays a crucial role in the Indonesian banking industry, particularly at the regional level, serving as an alternative financ-ing source for the unbankable population. This research aims to analyse the productivity levels of BPRs in East Java using the Malmquist Pro-ductivity Index (MPI) during the period from 2016 to 2022. The study sample comprises 30 BPRs in East Java. The analysis results indicate that the productivity of BPRs in East Java fluc-tuates from year to year. Moreover, during the COVID-19 pandemic, BPR productivity experi-enced a significant decline. The study provides recommendations for BPR management and regulators to pay more attention to BPR pro-ductivity and decision-making foundations.

ANALYSIS OF SHIPPING FINANCING SOURCES IN THE CONTEXT OF UNCERTAINTY

The article is aimed at identifying the peculiarities of financing shipping under conditions of uncertainty and analysing the sources of financing of shipping companies. Methodology. This study is based on the analysis of trends in the socio-economic, military-political and environmental situation, which cause global uncertainty and limit the ability of shipping companies to obtain external financing. The article compares the Petrofin Global Ship Finance Index with the dynamics of seaborne trade volumes for the period from 2008 to 2022, determines the correlation coefficient of these indicators and identifies the leaders among the banks-creditors of the shipping industry in terms of the volume of shipping loans in the loan portfolio. Results. The study shows a direct correlation between the shortage of shipping financing and the three main forms of global uncertainty. The results of comparing the Petrofin index with the growing dynamics of seaborne trade indicate a decrease in the role of banks and an increase in the role of alternative sources to cover the shortfall in shipping financing, such as raising resources from capital markets, financial and leasing companies, private equity funds, private equity and venture capital investments, investment platforms, hedge funds, state capital, and capital from international organisations. The main reasons for the change in the structure of shipping companies' funding sources are the conservative lending policy of banks in the crisis, tighter regulation, higher interest rates, lending only to borrowers with a positive credit history, and increased loan collateral requirements. Instead, the advantages of alternative sources of financing are flexibility, speed, less regulation compared to banks, the ability to provide large volumes, new types and forms of financing, and more competitive rates. Practical implications. The volatile external environment complicates the process of finding financing for shipping companies, which directly affects fleet renewal, the increase in the cost of ship construction and refurbishment, and the digital and environmental modernisation of shipping. Therefore, shipping companies should diversify their sources of financial resources, have a margin of safety in equity, and redistribute their borrowing portfolio between bank loans and alternative forms of financing. Value/Originality. The analysis of traditional and alternative sources of financing for shipping in the context of macroeconomic instability allows to identify key trends in investment policy towards shipping companies, to identify the specific needs of shipping companies in the face of various forms of global uncertainty and to outline the features of the most common sources of financing.

Entrepreneurial financing: how global and regional export intentions affect financial and non-financial choices for small and midsized enterprises in low-income countries

PurposeThe study explores how the intention to export affects financing and non-financing variables for small and medium-sized enterprises (SMEs) in a low-income country (LIC). The objectives of this study are (1) to discern between regional and global exporting and (2) to evaluate its policymaking implications.Design/methodology/approachPrimary survey data were collected from 330 Rwandan SMEs and were analysed using ordered logistic models as an application of the expectation-maximisation iterating algorithm, which was tested for robustness using a sampling model variation.FindingsThe results show that alternative sources of finance are the predominant choice to finance the intention to export within and outside Africa. As the scope of export intentions broadened from regional to global, there was a shift in preferences from less formal to more formal lending technologies, moving from methods like factoring to lines of credit. Moreover, reliance on bank officers became more significant, with increasing marginal effects. Finally, the study determined that government financing schemes were not relevant for SMEs pursuing either regional or global exporting.Practical implicationsWhilst alternative sources of finance predominate the export intentions of Rwandan SMEs, establishing a robust banking relationship becomes crucial for global exporting. Despite this implication, the intention to export should prompt more transparent communication regarding government financial support programmes. There is an opportunity for increased usage of relationship lending to customise support for SMEs involved in exporting, benefiting both the private and public sectors.Originality/valueThis study accentuates how export distance alters SME financing priorities. The results also contribute to understanding how the value of relationship lending changes when less familiar markets (i.e. global exporting) are the objective. Moreover, the study offers a new perspective on how institutional voids affect entrepreneurial financing decisions in LICs.

Sukuk Development in Indonesia: VosViewer Application

The concept of sharia-based finance is currently growing rapidly. One form of Islamic financial instrument that has been widely issued by both corporations and countries is sukuk. Sukuk is one of the most innovative product forms in the development of the contemporary Islamic financial system. It can be concluded that sukuk is an alternative source of funding, especially for governments and corporate companies. The growth of sukuk has increased sharply compared to other Islamic financial instruments, the growth reached 84% per year if analyzed from 2001 to 2007. Thus, sukuk has developed into one of the most important mechanisms in improving finance in the international capital market through an Islamic acceptable structure. This study aims to determine the development of Sukuk in Indonesia research trends published by leading journals on Islamic financial economics. The data analyzed consisted of 47 indexed research publications. The data was then processed and analyzed using the VoSviewer application to find out the bibliometric map of Sukuk in Indonesia research development.

The Role of Securities-Based Crowdfunding in Advancing the Local Economy for Small and Medium-Sized Enterprises (SMEs)

This article conducts an analysis of securities-based crowdfunding (SCF) as an alternative funding source outside traditional banking institutions. It explores whether the primary objective of SCF in Indonesia is indeed to advance the economy of the people, particularly focusing on Small and Medium Enterprises (SMEs). The article presents various perspectives on the concept of collective funding, where a group of contributors finance SME and startup projects, enabling these ventures to operate and progress. This approach aligns with the principles of a people-centered economy, which is characterized by an economy of the people, by the people, and for the people. The aim is to foster the people's economy, imbued with the characteristics of the Indonesian society which is religious and believes in sharing prosperity with others, as mandated by Article 33 of the 1945 Constitution of the Republic of Indonesia.

ANALYSIS OF FACTORS INFLUENCING THE REALIZATION OF MURABAHAH FINANCING FOR MICRO AGRIBUSINESS ENTERPRISES IN THE TRADE SECTOR (CASE STUDY AT BMT AL-AKBAR, DELI SERDANG DISTRICT)

Micro businesses have an important role in employment absorption and gross domestic product (GDP). The problem often faced by micro businesses is the difficulty of obtaining loans from banks. Sharia Microfinance Institutions (LKMS) are an alternative source of financing. Baitul Mal wat Tanwil (BMT) Al-Akbar is a sharia microfinance institution that provides micro business financing through murabahah financing. This research aims to analyze the factors that influence the realization of murabahah financing through customer characteristics. The sampling method was carried out using convenience sampling and the number of samples used was 40 people. The collected data was processed using multiple regression. The research results show that the significant factors are length of education, length of business, net business income for one month and collateral. 
 Keywords: Agribusiness, Customer Characteristics, Realization Of Murabahah Financing, Multiple Regression, Micro Businesses

Accounting Standardization and Separation in the Municipal Debt Market: Evidence from GASB 34

ABSTRACT Governmental Accounting Standards Board Statement No. 34 (GASB 34, 1999) standardized financial reporting and disclosure requirements for U.S. state and local governments. We interpret debt issuing patterns surrounding GASB 34 implementation as evidence of strategic behavior by governments in anticipation of GASB 34 consequences. Specifically, governments that expected more favorable post-GASB 34 evaluations by municipal bond investors delayed new uninsured debt issues until after, whereas governments that expected less favorable evaluations accelerated debt issues to before, GASB 34 information became publicly available. Governments expecting favorable consequences were more likely than governments expecting adverse consequences to substitute away from insured debt and toward uninsured debt, and to choose new debt financing rather than alternative financing sources following GASB 34. These findings are consistent with the notion that expectations about GASB 34 consequences were realized, and that standardization created through GASB 34 facilitated separation in the municipal debt market. Data Availability: Data are from publicly available sources identified in the manuscript. JEL Classifications: G18; H74; M48.

Creditors’ Role in Shaping Asymmetric Cost Behavior: Evidence from Debt Covenant Violation

ABSTRACT This study uses covenant violations as a quasinatural experimental setting to examine creditors’ roles in shaping corporate cost behavior. Using a regression discontinuity design, I find that cost stickiness experiences a sharp decline following debt covenant violations when control rights are transferred to creditors. The cost stickiness effect is more substantial for borrowers with lower credit ratings and when creditors possess greater bargaining power. The effect is also more pronounced during industry downturns when borrowers have fewer alternative sources of finance. Results are consistent when I use alternative measures of cost stickiness and alternative research designs. Overall, my evidence indicates that creditors play a monitoring role in firms’ cost behaviors and identifies a specific channel (loan covenants) through which the misalignment of incentives can impact cost asymmetry. JEL Classifications: D24; G32; M41.

Thriving in Constraints: Exploring the Interplay of Human Capital, Social Capital, and Financial Constraints in Frugal Innovation within Family Businesses

This study aims to learn the impact of human capital, social capital, and financial constraints on frugal innovation as perceived by family businesses in the Philippines. Quantitative research was performed using data collected from 93 family businesses, which were analyzed using simple linear regression and structural equation modeling. The results showed that human capital, social capital, and financial constraints, individually and collectively, have a significant impact on frugal innovation. The results also indicated that all measures used for human capital and financial constraints are acceptable, while some measures of social capital and frugal innovation were deemed unfit and were removed from the model. The academe should expand or improve its discussion and curriculum on frugal innovation and continue to look at this through the lenses of its theoretical and practical aspects. Moreover, professors and students should study the relationship further and ultimately expand knowledge and understanding. Family businesses should prioritize improving their human capital to enhance their frugal innovation capabilities. Implementing efficient financial procedures, investigating alternative funding sources, and actively seeking external finance opportunities are crucial. Moreover, family businesses should develop robust social networks. Lastly, the Philippine government should actively encourage continuous learning through mentorship programs and networks.

Effect of Foreign Debt on Economic Growth in Nigeria

Nigeria has been on a foreign debt a rising profile overtime, however it is not commensurable with her developmental purposes; hence this study examined the effect of foreign debt on economic growth in Nigeria for the period of 1986-2022. It used time series data sourced from Central Bank of Nigeria Statistical Bulletins and World Bank Development Indicators. Using descriptive statistics which shows that the data were normally distributed based on Jacque Bera Statistics and its Probability. It applied Augmented Dickey Fuller (ADF) test which revealed that I (1) and (0) order of integration exist among the studied variables which necessitated the adoption of Autoregressive Distributed Lag model (ARDL). The ARDL F- bounds test reveals that long-run relationship exist among foreign debt, foreign debt servicing, exchange rate, inflation rate and economic growth in Nigeria. Furthermore, long-run result showed that foreign debt and exchange rate have positive effect on economic growth and statistically significant in the model except exchange rate that was insignificant. On the part of short-run dynamics, ECM revealed the speed of adjustment that foreign debt variables and economic growth converged back to equilibrium point in 1year and 8 Months period. It also revealed that foreign debt, exchange rate have positive effect on economic growth in Nigeria and statistically significant. Whereas, foreign debt servicing and inflation rate have negative effect on economic growth and statistically significant in the short-run. Therefore, this study submits that foreign debt has positive and significant effect on economic growth within the period of the study. Finally, the study recommended the following policy options for the government, policy makers, and institutions regulators to formulate fiscal policy that will open ways for alternative sources of finance

Tetfund Intervention Programmes and Academic Staff Development of Selected Polytechnics in Southwest Nigeria

Before the establishment of the TETFund in Nigeria, the tertiary education system has been on the path of severe developmental and infrastructural decline. This study examined the effect of TETFund intervention programmes on academic staff development in selected federal and state polytechnics in Southwest, Nigeria. Primary data extracted from carefully structured questionnaires administered to academic staff in six southwest polytechnics were analyzed using descriptive analysis and the analysis of variance (ANOVA). The findings revealed that TETFund intervention programs had a significant positive effect on academic staff development in the selected polytechnics. The study recommends continuous sustenance of TETFund intervention activities to polytechnic education in Nigeria, as well as the exploration of possible alternative sources of funding by the management of tertiary institutions in Nigeria as supplements.

REFOCUSING RURAL DEVELOPMENT INITIATIVES AS PANACEA FOR NIGERIA’S ECONOMIC AND SECURITY CHALLENGES IN A POST-COVID DISPENSATION

The study examined the challenges confronting the Nigeria economy and security over the years which seems unresolved, with redirection of focus on better development initiatives. The objectives of the study include identification of these challenges obstructing development in Nigeria; solutions proffered by government; factors mitigating against the effectiveness of such solutions and to redirect development initiatives towards curbing security and economic problems in Nigeria. Data were obtained from secondary sources: indexes of scholars’ work on relevant literature through journal articles, book and papers. The descriptive analytical pattern was adopted in the study. Findings revealed that despite several governmental efforts to tackle these challenges, the solutions have not yielded the desired results as the problems still lingers and increases daily due to certain factors acting as impediments. The paper suggested and redirected the focus of curbing these challenges to rural development initiatives through strategic planning, access to alternate funding sources, education and skill improvement among others as best route to tackle these challenges in a post covid dispensation of Nigeria. The study therefore, recommends among others that there is urgent need for developmental reforms and policy redirection towards combating these challenges.

Pasar Modal Syariah sebagai Pilar Pendukung Pertumbuhan Industri Halal: Sebuah Tinjauan Komprehensif

The Sharia Capital Market and Halal Industry play an integral role in establishing a financial ecosystem that adheres to Islamic financial principles and supports the growth of industrial sectors that meet halal standards. This research aims to provide a comprehensive review regarding the contribution of the Sharia Capital Market as the main pillar supporting the growth of the halal industry. Through a literature review and document analysis approach, this research identifies that the Sharia Capital Market not only acts as an alternative source of financing, but also shapes the financial environment in accordance with Islamic principles. Islamic investment instruments, such as sukuk and Islamic shares, play a key role in providing ethical financing alternatives. Regulatory factors, investor participation, and the level of public trust are identified as crucial elements that influence the integration of the Sharia Capital Market with the halal industry. These findings provide a basis for stakeholders to develop a financial ecosystem that supports economic growth in accordance with the principles of Islamic finance and sustainability.

THE ROLE OF CROWDFUNDING IN THE FUTURE OF UKRAINE: PROBLEMS AND PROSPECTS

The purpose of writing the article is to find alternative sources of funding for resto­ration projects, forecasting the impact of their implementation on the state of Ukraine's economy. Analysis of the current state and study of the state's investment needs is the main vector in the direction of developing recommendations for finding and attracting financial assistance. Under­standing the principles and basics of crowdfunding platforms is an important step on the way to using this tool to attract additional sources of funds in the future for recovery. There are different approaches to the classification of crowdfunding fees, each of which plays an important role in modern society. Each of them reveals the value of crowdfunding as a tool for supporting modern art, innovative technologies, charitable gatherings and organizations, political ideas in the form of projects. The article also contains statistics of successfully implemented projects on domestic crowdfunding platforms, features of the implementation of these projects and their impact on the present and future of the country. We consider the reasons for the appearance and principles of operation of popular platforms, both foreign and domestic counterparts. We also considered the influence of the Russian military aggression on the state of the crowdfunding market in the world, the trends of its further development and expected forecast indicators until 2027. The study also touched on the analysis of the advantages and disadvantages of crowdfunding as a system for both parties: both for project initiators and for investors. The biggest problem today is the imperfect legal basis. Prospective directions for investing in the country's post-war reconstruction were determined, and recommendations were made for the implementation of these principles.

Classic and alternative sources of capital in the small and medium-sized enterprise sector in Polish conditions

Purpose of the study: The main purpose of this article is to present selected classic and alternative sources of financing for small and medium-sized enterprises in Polish conditions. The article also aims to present the advantages and disadvantages of each source of capital.
 Methodology: The article was prepared using the method of a critical review of the literature on the formation of the capital structure of enterprises and the choice of sources of financing the activities of the SME sector. The literature review conducted analyzed articles and other publications related to the topic.
 Main findings: The presentation of selected sources of business financing, along with the advantages and disadvantages of using them, shows the multiplicity of choices available to managers, but at the same time warns against their improper use.
 Application of the study: The analysis presented here makes it possible to systematize knowledge in the area of theory related to classical and alternative sources of business financing. The theoretical content is expanded to include an objective presentation of the advantages and disadvantages of using different ways of financing business activities. The research can help you decide on the appropriate source of business financing, mainly at the initial stage.
 Originality/Novelty of the study: The study undertaken reveals space for further analysis of available sources of business financing, especially for large and advanced stage enterprises.

CROWDFUNDING EQUITY AND FIRM PERFORMANCE AMONG ENTREPRENEURS: A STRUCTURED REVIEW

Malaysia's fastest-growing alternative company financing source is crowdfunding. For business owners with creative concepts who otherwise might not have raised the money, it is a seductive chance to take advantage of the audience's influence and launch products and initiatives. Equity-based crowdfunding systems allow investors to pool their funds to participate in businesses, enabling inexperienced investors to follow in their footsteps. This study aims to provide a comprehensive overview of the existing research on the relationship between crowdfunding and firm performance among entrepreneurs. While crowdfunding has gained prominence as a funding mechanism, there is a need to understand its impact on firm performance. This study used the PRISMA approach. The systematic search of academic databases using Scopus and Web of Science yielded a comprehensive selection of studies, reviews and articles related to crowdfunding for the firm performance. After applying an advanced searching approach using keyword crowdfunding, firm performance, and entrepreneurs. The analysis revealed that crowdfunding played a pivotal role in maintaining final finding data (n=30), which reviewed identified key themes, including crowdfunding performance and mechanisms, financing and economic impact, and crowdfunding and entrepreneurship. Expect validation is divided into three themes: crowdfunding performance and mechanisms, financing and economic impact, and crowdfunding and entrepreneurship. Our review synthesizes findings from over 30 studies, revealing diverse and complex relationships between crowdfunding and firm performance. This study highlights the significance of factors such as crowdfunding model choice and the cultivation of social capital. Further research is essential to provide a nuanced understanding of how entrepreneurs can leverage crowdfunding to enhance their firm performance. This study contributes to the growing body of literature on crowdfunding and offers insights that can inform both entrepreneurs and policymakers.

THE INFLUENCE OF TAX PAYMENT AWARENESS AND UNDERSTANDING OF TAX REGULATIONS ON THE LEVEL OF LAND AND BUILDING TAX REVENUE AT THE REVENUE DEPARTMENT AND MANAGEMENT SURABAYA CITY FINANCE

In financing regional development, tax is an alternative source of financing needed by the government, including land and building tax. Land and Building Tax is the only property tax in Indonesia and has increased from year to year. Apart from that, Land and Building Tax has the largest number of taxpayers compared to other taxes. Even though Land and Building Tax has a broad impact, the proceeds from Land and Building Tax are returned to the regions concerned for the implementation and improvement of development in their respective regions. The aim of this research is to determine the influence of the level of awareness of tax payments and understanding of tax regulations for individual taxpayers, both partially and simultaneously, on land and building tax revenues in the work area of ​​the Rungkut Kidul Subdistrict Office. The population is all effective taxpayers registered in the working area of ​​the Rungkut Kidul Subdistrict Office. The sample used was 95 individual taxpayers for land and building tax. The sampling technique used purposive sampling, namely random sampling of 95 respondents. The analysis technique used is multiple linear regression.

Challenges and Prospects of Fund Generation in Christian Higher Education Administration

The paper discusses the significance of funding in the administration of Christian Higher Education (CHE) institutions, including universities and seminaries. It highlights the challenges faced by these institutions due to their reliance on private funding sources, as they do not receive government support. The challenges include a decrease in the quality and standard of education, changes in the perception of education, disruptions to institutional goals, and issues related to responsibility and control. However, the paper also explores the prospects of fund generation for CHE institutions, emphasizing the need for proactive approaches to address financial challenges. These prospects include achieving institutional goals, effective administration, improving the quality of personnel and infrastructure, and global relevance. The paper recommends that CHE institutions should explore alternative funding sources such as alumni support, endowments, donations, and research grants. It also suggests diversifying financing and engaging in institutional investments and business ventures without losing focus on institutional mission and vision. The paper emphasizes the importance of fostering good working relationships with all stakeholders, both within and outside the institution. In conclusion, the paper underscores the critical role of funding in CHE institutions and provides recommendations for addressing funding challenges and harnessing funding prospects to enhance the quality of Christian higher education.

The determinants of the rate of return on shipping sale-leasebacks*

ABSTRACTThis study investigates the determinants of the rate of return on shipping sale-leaseback (SLB) transactions. Since the credit crunch in the shipping industry after the 2008 crisis, SLB has emerged as an alternative funding source. However, little is known about the use of SLBs in the shipping industry. Therefore, this study analyzes 62 shipping SLB transactions occurring between 2017–2022. Examining 23 factors related to financial characteristics, firm- and vessel-specific aspects, and shipping market indices, this study finds that the SLB rate of return is negatively associated with the operating margin of a shipping firm, and this result is robust even when controlling for variations in the key interest rate. In addition, with winsorized values of the financial ratios that fluctuate during the sample period, it is also found that a lower rate of return is required for vessels with time-charters. The findings of this study provide shipping companies with valuable implications for understanding the cost of debt financing.