To analyze the costs and analysis that might involve in each type of crowdfunding.
The purpose of this research is to identify the benefits and costs that are involved with each crowdfunding type and analyze if the benefits outweigh the costs in order to select the most benefiting type which is also aligned with the Company’s strategy. Costs -Benefits Analysis and Break-Even Analysis will be applied to compare investments. Cost-Benefit Analysis: is an approach that is used to determine the most suitable options through measuring the possible strengths and weaknesses of alternatives. Cost-Benefit Analysis can be applied through measuring if the expected benefits of an investment outweigh its expected costs. Benefits and Costs are determined in terms of monetary, and adjusted for a time period. Thus analyzing the cost and benefits that involved with each crowdfunding type will help to determine the most beneficial crowdfunding category. Break Even Analysis: is an approach that is used to measure the margin of safety based on revenues associated with costs. Also, Break-Even Analysis helps to determine the level an investment should reach to recover the expenditures
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