Encyclopedia / Crowd-Funding / Crowd-Financing

A new name given to the practice of raising philanthropic/co-operative/investment investor from a large ‘crowd’ of people rather than institutional investors. The institutional norm of crowdfunding/investment sites is to allow social entrepreneurs to pitch directly to investors through an intermediate (often internet-based) institution that lists their projects. Investors contribute capital directly to the projects they want to support on a case by case basis. This can also be done via various websites online.