Crowdfinance as a way of attracting capital for small and medium enterprises

This article presents the causes of the crowdfunding’s emergence. The role of small and medium enterprises in the development of the country's economy is indicated. The economic essence of crowdfunding as an alternative way to raise capital is disclosed. The main participants of the crowd-market are represented. The models of crowdfunding, namely crowdfunding, crowdlending and crowdinvesting, are reviewed. The advantages and risks for each model are highlighted. Worldwide crowdfunding volumes are analyzed for the period 2017-2019. The relationship between crowdfunding and traditional professional investors is described.