Crowdfunding in Europe: An Overview of the Regulations and Platforms Driving New Financing Models

Celent will help qualify your requirements and introduce you to the vendor
Spotted a missing vendor? Use this form to alert a vendor to the Celent service
Create a vendor selection project & run comparison reports
Register to access this feature
Click to express your interest in this report
Indication of coverage against your requirements
Vendor requires PRO subscription to activate this feature
Requires research subscription, contact Celent for more info
31 October 2015
Lauren Hawkins and Josephine de Chazournes

Abstract

Crowdfunding, a global and thriving industry that has emerged as an alternative to traditional bank lending practices, is experiencing a unique evolution in Europe.

Three drivers are advancing the crowdfunding sector in Europe:

  • Newly implemented regulation.
  • Dozens of platforms entering the market.
  • A wide range of technology-based tools and services facilitating the participation of institutional investors.

In the report Crowdfunding in Europe: An Overview of the Regulations and Platforms Driving New Financing Models, Celent focuses on the most active crowdfunding markets in Europe (the United Kingdom, France, Italy, Spain, and Germany) to provide an understanding of its characteristics and trajectory.

Crowdfunding is broadly defined as non-bank, tech-driven, online platforms connecting lenders/investors and borrowers. In some geographies, crowdfunding is used synonymously with marketplace lending or peer-to-peer (P2P) lending.

Crowdfunding has become a viable means for consumers and small and midsize enterprises (SMEs) to receive financing. In the last few years, it has attracted institutional investors who, with the help of technological tools and services allowing them to operate at scale, are more actively participating in crowdinvesting and crowdlending to get exposure to this new asset class.

“The creation and implementation of regulation, whether country-specific or at the European Union level, will be important if crowdfunding is to become a mainstream means of financing for individuals and SMEs,” says Lauren Hawkins, an analyst with Celent’s Securities and Investments practice and coauthor of the report. “With that said, the rapid flow of institutional money and the fast-paced adoption of innovative technological practices will likely be the greatest determinants of the industry’s evolution in Europe in the near future.”

This report seeks to:

  • Outline industry regulation and its applicability for crowdfunding platforms, lenders/investors, and borrowers.
  • Identify the major equity and loan-based crowdfunding platforms in Europe.
  • Highlight the trends and opportunities that will shape crowdfunding in Europe.

Insight details

Content Type
Reports
Report Type
Industry Trends
Location
EMEA
Special Interest
Innovation & Emerging Technology