The Law on Crowdfunding is also seen as allowing loans and grants to be obtained through civil-law mechanisms, Azer Amiraslanov, Chairman of the Milli Majlis Committee on Economic Policy, Industries and Enterprising, stated at a parliamentary plenary session, Report informs.
Amiraslanov noted that the law also envisions other forms of financing: "The main goal is to support every innovative project. Within this framework, loans and grants through civil-law mechanisms may also exist. Civil legislation recognizes and permits any form of financing and support. This issue was raised at the committee meeting, and from a procedural standpoint, such financing is realistic. However, parties must formalize it in civil form."
He stressed that financing outside the legislative framework carries risks: "Operations conducted informally, such as via WhatsApp, are non-official forms of support and may create certain risks. If legislation defines clear procedures, stronger grounds can be established for protecting the rights of investors and citizens."