26/09/2016

Funding the new venture

Unless you have enough personal wealth, a good number of wealthy friends and relatives, have an innovation that costs very little to prototype, such as software, or can fund growth through profits, there will come a point where you may decide that you need to raise money.

Raising money is generally a long and hard process, usually taking far longer than you feel reasonable with you having to jump through many different hoops for each new investor you see.

For most new entrepreneurs raising money will be the most alien part of their new role as founder of a business. Do you need to obtain external finance? Can it be grants, or loans, or convertible bonds or in equity? What are the pros and cons for each? What is my Investment Readiness level and why does it matter?

Having someone that can help guide you through the types of funding available from grants through to business-angels and venture capitalists and now the potential of crowd sourcing will save you much time and distress.

Having impartial advice on matters such as pre-money valuation, UK and EU grant availability, the benefits of incubators and the relevance of catapults will help you get on the correct path faster and with more certainty.