Crowdfunding System Models in the African Context: The Susu and Yibima concepts in Ghana

Abstract

The study examines the operations of Susu, which is a Ghanaian indigenous crowdfunding concept of fund mobilization in support of micro enterprises. The study further explores a typology of the Susu concept known as Yibima, which is an emerging concept, which has not been explored by existing literature.  The key concepts of these indigenous crowdfunding models are critically considered and the study is conducted using qualitative research method. The study presents an inductive approach from data samples using Grounded Theory to develop a theoretical framework for the study. There was a constant comparison of analyzed data, grounded theory coding, observation and personal experience to come out with a theoretical view that Susu bears similarities with crowdfunding and that Yibima is a typology of Susu that has not been explored by other scholars. This assertion is reinforced by the application of inductive reasoning based on interview data. The findings, therefore, reveal that during Yibima campaigns, project initiators make a general appeal to the public (crowd) and these campaigns are launched on social media platforms and funds raised from such campaigns could be used as startup capital for business ventures or for supporting community projects. Following on the reviewed of existing literature and based on Grounded Theory from analyzed data, the study put forward a theory that Susu satisfies all the conditions to be classified as a crowdfunding concept. In addition, the findings also shows that Yibima satisfies the requirements to be a typology of the Susu as a concept.