Crowdfunding as a catapult for innovation in the middle east: Obstacles and possibilities

Abstract

Crowdfunding has been gaining in popularity as means for creators and entrepreneurs to get funding and launch their ideas and projects and is considered as an alternative financing model for start-up funding by many, where the market leading platform Kickstarter received about USD$480 million in 2013 alone. However, this increasing popularity has not yet gained foot in many developing countries that do not lack talent or innovative ideas, but that lack funding for innovation endeavors in business and development works. Many developing countries in the Middle East and North Africa in particular that are facing grim financial situations could greatly benefit from Crowdfunding towards creating a positive impact on deprived societies in the region. This paper investigates the process of Crowdfunding and its impact on innovative projects and businesses in developing countries of the Middle East, and analyzes its potential for humanitarian and society development. The paper further contributes to this emerging field by and addressing obstacles and possibilities for campaigners on Crowdfunding platforms.