ABSTRACT
Despite the growing popularity of crowdfunding, little is known about the dynamics of successful crowdfunding. Drawing from the social network theory and theory about social interactions, this chapter examines how entrepreneurs leverage social network including family and friends and the information they provide to access crowdfunding. It also explores how mobilizing funders outside this close network positively contributes to the success of crowdfunding. Therefore, the understanding of how to attract funding from more distant/potential resources (latent ties) in addition to existing networks (strong and weak ties) is crucial in entrepreneurship. The chapter then examines how the usage of social media (Facebook and Twitter) and the crowdfunding platform helps in this regard.
