Asked by Stanley Harrell on Feb 18, 2024



What is characteristic of the lending model of crowdfunders?

A) Investors provide financial support with no expectation of direct return.
B) Investors are given prizes for their financial support,such as product samples or experiences.
C) Equity is exchanged for the contribution.
D) Funds are treated as loans.

Lending Model

A crowdfunding model where funds are offered as loans with the expectation that the money will be repaid with interest.

  • Recognizing the characteristics of the lending model in crowdfunding.
  • Identifying the role of investors in the lending model.
  • Understanding the different models of crowdfunding.

Verified Answer

Sierra Cowing

Feb 18, 2024

Final Answer :
Explanation :
The lending model of crowdfunders is characterized by treating funds provided by investors as loans. This means that investors expect to receive their contributed funds back with interest over a specified timeline.