Sustainable entrepreneurs: what drives them to engage in different crowdfunding types?

Abstract

PurposeSustainable entrepreneurs face additional challenges in fundraising. Crowdfunding is emerging as a compelling alternative to traditional sources of capital with a growing body of research outlining its characteristics and discussing mainly its antecedents. Yet little is known about the crowdfunding behaviour of sustainable entrepreneurs. The purpose of this paper is to explore sustainable entrepreneurs' crowdfunding landscape namely the relation between motivation and different crowdfunding types.Design/methodology/approachBased on a unique dataset of French sustainable entrepreneurs, this paper adopts a qualitative case study approach by conducting in-depth interviews with the entrepreneurs. This was complemented by secondary data collected from company websites and crowdfunding platforms.FindingsThis study presents a conceptual framework that outlines and maps the drivers that lead sustainable entrepreneurs to engage with different crowdfunding types (donation, reward, mixed and equity) by unravelling a more granular understanding of the key and condition-based additional drivers within the context of sustainable entrepreneurial crowdfunding.Originality/valueEntrepreneurs are taking advantage of crowdfunding in order to raise funds. This manuscript offers empirical insights into the under-investigated question of what drives sustainable entrepreneurs to engage in crowdfunding and to what ends. This research also adds texture to prior findings about general motivations of entrepreneurs to seek crowdfunding. These insights inform research and practice on sustainable entrepreneurial crowdfunding, and entrepreneurial crowdfunding in general.