Success Factors in Reward based and Equity based Crowdfunding in Finland

Master’s Thesis 
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shorter durations would be better suited. This is due to the “down time” their projects 
experienced.
Interestingly, Juuri had a very different crowdfunding schedule than the other pro-
jects, because most of the investments came in in the last two weeks of the campaign. 
Apparently, reaching the target amount was not certain until near the end of the cam-
paign and “when it reached the target, a large amount of new investors arrived”. This 
would imply, similarly to Autolla Nepaliin, that once a project has been successfully 
funded, people are more willing to contribute to it. Due to the “all or nothing” nature 
of most crowdfunding platforms, this should not be due to fear of giving money to an 
unsuccessful project. However, it might be related to an intrinsic desire to support 
“winners”, or in this case successful projects. 
In relation to duration and timing, spending time to prepare for the crowdfunding 
campaign was something that was also mentioned in interviews. EkoRent spent about 
3 months with Joukon Voima preparing for the campaign before launching it. Su-
oheimo from Ambronite said crowdfunding initiatives “need at least 6 months of 
planning and preparation”. The Ambronite team worked for 6 months before launch-
ing their campaign and Suoheimo felt that they could have benefitted from more prep-
aration. This was so that “95% of the work is done by the time the crowdfunding cam-
paign is launched” and “when the campaign is launched, a large mass of people are 
already supporters and ready to fund it”. 
Overall, there does not seem to be trends in relation to timing that differ greatly be-
tween reward-based and equity crowdfunding. Most of the interviewed projects fol-
lowed a U-curve, and one was backed greatly towards the end of the campaign. Clear 
differences between the crowdfunding models seem to exist in the different durations 
of the campaigns. Equity crowdfunding initiatives tend to have larger funding targets 
and consequently longer durations (Frydrych et al., 2014).