ABSTRACT
This chapter looks at the post-funding phase and explores how entrepreneurs can exploit the relationship with crowd investors to build competitive advantage. It examines the benefits, in terms of knowledge and networks, that crowd investors provide to funded companies. The potential benefits of a long-lasting relationship between equity crowd investors and entrepreneurs are the main feature distinguishing equity crowdfunding from other crowdfunding models. In some cases, crowdfunding investors had supported the new venture by finding additional sources of finance after the initial crowdfunding campaign or had established partnerships and were offering complementary services. Crowdfunding investors can be involved actively in providing knowledge and feedback on product development and growth strategy. A successful crowdfunding campaign allowed entrepreneurs to develop a customer base for their product and promote it pre-commercialisation. Crowdfunding investors were considered by our respondents as useful for promoting the business and the product.
