Social economy in the fight against corona. Crowdfunding is finally going online
On 15 April, I gave a brief introduction to alternative finance issues (crowdfunding, in particular) in the fight against corona, for the Social Economy Community of the European Commission.
Here is a quick summary of three of my observations about key developments in crowdfunding in corona times:
- Let’s not panic reaction. Crowdfunding platforms are preparing for hard(er) times ahead, and are taking measures to turn the tide. There is a general fear of loss of appetite among investors and many platforms expect a significant decrease in the number of new projects.
- There is shift towards donation-based crowdfunding, especially by crowdfunders from the hardest hit sectors (like events, creative industries).
- There is a huge rise in covid19-related social projects that resort to crowdfunding.
If you are interested in hearing my observations and expectations, you’ll find the recordings and notes of the online session right here. The other two speakers in the session were Daniele Calzolari (La Bolsa Social, Spain) and Markus Sauerhammer (Social Entrepreneurship Network, Germany).