CROWDFUNDING AS A NEW GENERATION FINANCING MODEL: TURKISH POTENTIAL

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It is a big problem for entrepreneurs with innovative ideas to get financing that they need in the early stages. Personal wealth, borrowing from financial institutions, benefiting from state subsidies are the traditional ways of financing. However, economic crises and technological developments caused the emergence of new financing techniques besides these traditional methods. Crowdfunding as one of these techniques needs to be examined in the context of Turkey given its rapid development and spread throughout the world. This study investigates the dynamics behind the emergence of crowdfunding, tracks its development, dicsusses the types of crowdfunding and its functions. The relevant literature attests to the significance of an effective legal system for crowdfunding to be fully operational. According to the findings of this study, the legal infrastructure required for the use of crowdfunding techniques seem to be established in Turkey and there is a collective effort for further actions by the state, angel investors, technocities, investment and consultancy companies. The findings of the study also indicate that the ongoing legislation process is somehow collateral to the practices across the world and all these efforts are expected to be a source of attraction for foreign investors in the near future.

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Crowdfunding , Financial Techniques , Legal Regulation

Celal Bayar University Journal Of Social Sciences

295

Celal Bayar University Journal Of Social Sciences