Introduction

These notes look at the financing of early stage businesses, including those yet to generate a profit or even revenue.

Key Tips

These notes will be updated shortly – but you will find plenty of information to assist you with your finance options when you take a look at the different forms of specialist finance that are available.

Early stage businesses, with no track record, are inherently risky. The finance available is typically more expensive than that available for larger businesses with establish cash flows. That costs comes in the form of having to hand over part of the business (equity) or through paying a premium interest rate on borrowing.

Loans that are available to small businesses often come with some important strings attached – namely that the business owner has to provide personal guarantees and security. Always take professional advice before making such a decision.

Specialist Finance

For sources of early stage equity, take a look at what the following have to offer:
Angel Networks
Crowd Funding

There are a large number of both Angel Networks who represent many thousands of experienced Angel Investors. There are also an increasing number of online platforms that source finance from the “crowd”.

In terms of taking out a loan, there are now many specialist suppliers of loan finance, often backed by Government support schemes and specialist, local funds. Take a look at further information on Early Stage and Development loans.

The information contained within this note represents just one set of views when it comes to a buying equipment. No responsibility is accepted by Informed Funding for any losses or profits foregone by acting on or refraining from acting on any information contained within this note or any other information to which this refers. Before making any decisions concerning the financing or accounting of your business or enterprise, you should consult a professionally qualified accountant or other appropriate individual.

Key Sponsors

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