The use of positive language in equity crowdfunding pitches and fundraising success: the moderating role of punctuation

This paper investigates the relationship between positive language use in equity crowdfunding pitches and fundraising outcomes, with a focus on the moderating role of punctuation. By analyzing 772 campaigns across 25 platforms in France, Israel, Italy, Turkey, and the United Arab Emirates, the study provides evidence of an inverted U-shaped relationship. Results, framed within signaling theory, reveal that while initial positive language boosts equity collection among backers, further use beyond the inflection point leads to worsening fundraising outcomes. Additionally, punctuation dampens the initial positive effects of positive language use and mitigates the negative returns associated with further positive language use. The paper discusses theoretical implications for academia and practical implications for practitioners and policymakers.