Research on Financing Models for College Student Entrepreneurship of Different Lifecycle Stages

Abstract

College student entrepreneurship will go through different stages of life cycle including seed stage, brood stage and growth period. In this paper, we combine Internet financial innovation represented by crowdfunding with the dynamic evolution of entrepreneurial enterprises. Based on the analysis of the questionnaire survey results of 54 college students entrepreneurial enterprises and 301 crowdfunding investors, we can choose suitable financing model for all stages entrepreneurial enterprises from the aspects of financing amount, financing efficiency, financing costs and so on. The results show that equity crowdfunding can be regarded as the main financing model at the seed and brood stages. Meanwhile, the bank loan and venture capital can satisfy larger financing needs during the growth period. At the same time, angel investment, in-kind crowdfunding and PE/VC can serve as auxiliary financing models for seed, brood and growth period respectively.