Journal of Accounting and Investment
Vol 23, No 2: May 2022

Successful Crowdfunding in Indonesia Based on Financial Projection and Investor Attraction: Empirical Study on Micro, Small and Medium Enterprises (MSMEs) on the Bizhare Platform

Anggrian Faulina Permatasari (Department of Accounting, Faculty of Economics and Business, Universitas Muhammadiyah Malang, East Java)
Ihyaul Ulum (Department of Accounting, Faculty of Economics and Business, Universitas Muhammadiyah Malang, East Java)
Ike Arisanti (Department of Accounting, Faculty of Economics and Business, Universitas Muhammadiyah Malang, East Java)



Article Info

Publish Date
07 Apr 2022

Abstract

Research aims: This study aims to examine the effects of investor attraction and financial projection on successful crowdfunding. Design/Methodology/Approach: A purposive sampling method was used by the researchers. The research sample consisted of 48 projects from the Bizhare platform from 2018 to 2021, with the following criteria: providing data that could be used as an indicator for measuring each variable. In testing the hypotheses, multiple linear regression analysis was employed with a principal component analysis model.Research Findings: The financial projection positively affected successful crowdfunding, while investor attraction negatively affected successful crowdfunding in Indonesia.Theoretical contribution/Originality: This study’s results are an additional discussion toward theory and literature related to crowdfunding.Practitioner/Policy implication: Disclosure of prospectus plays an essential role in preventing information asymmetry that may arise between managers and investors by providing knowledge to external investors. This study is needed to accelerate economic recovery due to the pandemic, which especially causes new projects to be trapped, saves MSMEs from limited capital, and improves business development.Research limitation/Implication: This research only used one platform as an object because not all crowdfunding platforms could be accessed and provided the information needed for research.

Copyrights © 2022






Journal Info

Abbrev

ai

Publisher

Subject

Economics, Econometrics & Finance

Description

JAI receives rigorous articles that have not been offered for publication elsewhere. JAI focuses on the issue related to accounting and investments that are relevant for the development of theory and practices of accounting in Indonesia and southeast asia especially. Therefore, JAI accepts the ...