Digital Due Diligence Activities and Goal Setting in Equity Crowdfunding: Exploring the Differences between Novice and Experienced Investors

Riar, Frederik J.; Hienerth, Christoph; Berg Jensen, Morten (2021). Digital Due Diligence Activities and Goal Setting in Equity Crowdfunding: Exploring the Differences between Novice and Experienced Investors. International journal of entrepreneurial venturing, 13(1), pp. 1-26. Inderscience Enterprises 10.1504/IJEV.2021.114270

Text 2021_IJEV-23203_PPV_Published.pdf - Published Version Restricted to registered users only Available under License Publisher holds Copyright. Download (371kB)

Investor background can have major implications for decision-making processes in start-up financing. We investigate the differences between novice and experienced investors in equity crowdfunding. To date, empirical information about the specifics of these investor types in the crowdfunding literature is limited, as most studies do not investigate the micro level, i.e., the
actions and decisions of individuals. Our empirical results, based on data from a major European equity crowdfunding platform, show similarities but also clear differences among the different types of investors with regard to information search, communication, signaling effects, and investment motives. The insights of our study contribute to the crowdfunding literature by developing a better understanding of crowd investor types active in crowdfunding. Moreover, our findings specifically contribute to research on information assembly, communication, signaling, and investment motives in equity crowdfunding.

Interest & Impact

Downloads

2 since deposited on 29 Mar 2022
0 in the past 12 months

Citations

5 Citations in Web of Science ®
6 Citations in Scopus

Search

in Google Scholar™

Services

Actions (login required)

Edit item

Actions (login required)

Edit item