New investment: an exploratory case study of three mature Edinburgh festivals and their future funding opportunities

Abstract

This article examines how festival holding organizations (FHOs) may identify emerging sources of alternative financing from banks, venture capitalists, and venture philanthropic organizations. The research includes both quantitative analysis of 10 years of economic data from festivals in Edinburgh, Scotland and qualitative interviews with a leader in both the banking and cultural community. The research concludes that there is a growing need for FHOs to identify new sources of funding beyond that historically provided by the public sector or earned income such as ticket sales and that a combination of banks, venture capital firms, and venture philanthropic organizations may provide valuable alternative funding sources in the future.