Crowdfunding is an emerging source of financing involving open calls to the public, generally via the internet, to finance projects through donations, monetary contributions in exchange for a reward, product pre-ordering, lending, or investment.

Any type of organisation can launch a crowdfunding campaign. SMEs, artists, innovative start-ups, and social entrepreneurs may all benefit from different forms of crowdfunding.

Actions in this field

  • The European Commission is exploring the potential and risks of this relatively new and growing form of finance, as well as the applicable national legal frameworks. The aim is to identify whether European-level policy in this field could help.
  • In March 2014, the Commission issued the Communication, 'Unleashing the potential of Crowdfunding in the European Union' to develop a common understanding of the potential for this form of financing at EU level and to prepare the ground for possible future actions.

Guide on crowdfunding for SMEs

The guide for small businesses explains what crowdfunding is and how to use it. It offers information for small and medium-sized enterprises (SMEs) on different types of crowdfunding and gives practical tips on how to access it.