In UK, halal crowdfunding is becoming part of islamic finance acting as an alternative financing instrument to facilitate the implementation of projects for british muslim borrowers who are facing difficulties to raise money through the classical lending channels.
The main difference of halal crowdfunding in UK with conventional crowdfunding is the utilisation of the Murabaha principle which allows to finance trade which are underlined by tangible goods. The combination of Islamic finance with crowdfunding will solve the SMEs problems in UK. Islamic Crowdfunding encourage cooperation amongst islamic communities in UK to collect funds for a business or social project in UK.
UK investors who are participating in a campaign first purchase the goods and sell it later to the borrower against a profit margin. A first equity-based islamic crowdfunding platform dedicated to real estate which is the first Shariah compliant fintech company has got regulator's approval in U.K.
For SMEs in UK islamic crowdfunding is the real alternative as the banking support including sharia banking financing support for SMEs is generally missing because Islamic financing has served large british corporates mainly.
UK ONLINE ISLAMIC CROWDFUNDING PLATFORMS
UK ISLAMIC CROWNDFUNDER