The impact of audit supervision on the crowdfunding performance of charitable foundations

Charitable crowdfunding projects are typically initiated and operated by charitable foundations. Existing research has primarily focused on the impact of foundations' internal characteristics on project performance, overlooking the role of government supervision in enhancing the effectiveness of charitable crowdfunding. Using a sample of foundation-led crowdfunding projects from the Sina Micro-Charity platform between 2019 and 2023, this study examines the impact of government spot audits on the performance of charitable crowdfunding. The findings reveal that spot-check audit significantly improve crowdfunding performance. The effect is achieved through donor participation and varies under different project quality conditions. When the beneficiary is a minor, the project fundraising period is longer, the project is located in the central and western regions and is supervised by the municipal government, the promoting effect of spot-check audit on the performance of public welfare crowdfunding is more . This study provides insights for governments seeking to better supervise and manage charitable crowdfunding projects.