Empirical Research On Influence Factors Of Funding Performance Of Equity Crowdfunding Projects

Internet-based equity crowdfunding is just unfolding,encouraging people to start their business and make innovations,which is backed up by the government.While equity crowdfunding in China is a valuable research topic,there is still not enough attention and research about the influence factors.Equity crowdfunding companies are usually small-to-medium size ones,and their crowdfunding projects are essentially marketing efforts to promote the internet financing products.The research is dedicated to complement and improve the management study.Based on signaling theory and herd effect theory,we focus on the influence factors of equity crowdfunding,pay special attention to those from the lead investors,and explore key factors by empirical analysis of sample of 94 projects from JD Equity Crowdfunding and Angel Club.According to the research,funding target and lead investor signals impose significant influence on the final funding performance via influencing following investors.Those signals include target funding value,target number of investors,investment by lead investors as of percentage of target funding value,disclosure of exit plan by lead investors,and disclosure of precedent investment return rate by lead investor.Beside deepening the research on signaling theory in internet platform scenario,the research also proves the existence of herd effect on equity crowdfunding and internet platforms.