Abstract
Peer-to-peer investing is often considered to be a mass alternative to business angel investing. This paper introduces peer-to-peer investing as a new financing instrument for start-ups in the traditionally bank-based financial system of Germany and identifies characteristics that influence the funding success of peer-to-peer investing projects. Based on a comprehensive picture of the peer-to-peer investing platforms in Germany, we analyze 126 funded projects from the three largest German platforms Seedmatch, Companisto and Innovestment. Our results show that larger projects are more successful in funding while the smallest platform is less promising.