Equity crowdfunding has become entrenched as as a serious way to fund small and medium-sized UK businesses.
Rather than go to friends and family, asking for a bank loan, or pitching to angels or VC, business owners can instead access finance directly from members of their “crowd”. (more…)
For new and growth-stage businesses, an equity crowdfunding campaign can be a catalyst to a successful future. The long-term backing from investors, the accompanying marketing boost and, of course, the investment itself, can really help propel a business to the next level.
However, to run a successful crowdfunding campaign, you’ll need to carefully plot the journey ahead. (more…)
Fintech company Capital on Tap is celebrating the major milestone of lending over 1 Billion pounds to small and medium sized businesses across the UK.
Since its creation, less than 7 years ago, Capital on Tap has helped more than 65,000 small business owners fund their business ambitions. (more…)
In the minds of many an entrepreneur, equity crowdfunding should be a shoo-in. You’ve had the spark of a bright idea, built a remarkable product, and a strong business model – the crowd would be mad not to invest, right?
Sadly, the reality is often very different so we asked crowdfunding expert, John Auckland, to explain why engaging messaging is vital, and how to craft a compelling message. (more…)
Early-stage businesses have a great opportunity to use equity crowdfunding to raise funds, grow brand awareness, and build a loyal crowd of supporters, even before the product launch.
However, while it may look simple to set up and run an equity crowdfunding campaign on a platform like Crowdcube or Seedrs, it actually takes a lot of preparation behind the scenes. (more…)
Equity crowdfunding requires a lot of preparation, which means business owners have to find some significant time ahead of a campaign. And after putting weeks of effort, it can be devastating to see a lacklustre response from the crowd.
So, if your crowdfunding campaign isn’t going to plan, here are the steps you should take to get it back on track. (more…)
There are lots of things to think about if you’re considering taking out a business loan. The UK’s business lending market includes a wide range of providers offering subtly different types of business loans.
If your business needs to borrow money, here are some of the key considerations you need to bear in mind when deciding which business loan is best for you. (more…)
If you need finance for your business, one route you can take is a business loan. Business loans now come in a wide variety of shapes and sizes, so you’ll need to choose the loan that’s best suited to your situation.
One of the main options you’ll have is whether to take out a secured, or unsecured business loan, so let’s look at what this means. (more…)
If you need an injection of cash for your business, there are now many different and increasingly flexible alternative finance products available to suit your unique requirements.
One of the more recent and most innovative among them is the merchant cash advance. So what exactly is a merchant cash advance, and is it a suitable form of finance for your business? (more…)
Whatever stage of growth your business is in, there may come a time when you need a fresh injection of cash and you are faced with the uncomfortable prospect of signing a Personal Guarantee. (more…)
Equity crowdfunding has flourished as a key form of alternative finance for early and growth stage businesses. It’s become a great alternative to bank loans and other traditional funding sources, allowing entrepreneurs to engage a crowd of passionate investors for financial backing.
However, the popularity of equity crowdfunding has left platforms, like Crowdcube and Seedrs, rather overcrowded with hundreds of active campaigns at any one time. (more…)
As a small business owner fundraising can be a daunting prospect but digital technology is changing this. You can now raise the funds you need to develop and expand your business in a way which you’ll find more user-friendly and which puts you in control of the process. (more…)
Young businesses and start-ups that are looking to raise funding have a dizzying array of choices nowadays. In fact, there has probably never been a bigger range of places to go for early-stage finance, from crowdfunding and angel investors through to government-backed start-up loans and P2P lenders. (more…)
Most entrepreneurs really struggle to bring in investment without the proper tools to bolster their proposition. An engaging pitch deck is a key part of any successful fundraising strategy, so it’s vital to get it right.
With no clear consensus on what a great pitch deck for raising funds looks like, we asked funding expert, John Auckland to share the insight he has gleaned from a series of successful fundraisings. (more…)
Entrepreneurs usually need investors to stump up the funding to fuel their dreams. The mistake many make is putting a huge effort into persuading investors to back them, only to neglect them once they have invested.
This approach is damaging, especially when you need more investment for your next phase of growth, so we asked, Scott Haughton, COO at Envestors to explain why you need to communicate with your investors and how to do this. (more…)
Fundraising for your business is rarely a walk in the park. It’s a tough process, regardless of the industry you’re in, it can take up vast amounts of time, and more often than not, ends in failure.
Communicating effectively with investors will really boost your chances of success, so we asked funding expert, John Auckland, to reveal which buttons you need to press to get investors onboard. (more…)
There’s never been a better time to start or grow a business in the UK, with more funding options and tax incentives (for companies and investors) than ever before.
Crowdfunding is an option that more businesses are turning to, so if you’re looking to turn a great entrepreneurial idea into a reality, or to scale your business to the next level, here are five reasons why you should consider equity crowdfunding, plus some practical advice on how to succeed with your campaign; (more…)
Everybody understands that starting up a business from scratch is not a simple process or an easy challenge to take on. Regardless of how lofty your ambitions are or whether you’re aiming to establish yourself as a sole trader or as a the boss of a burgeoning new enterprise, finding access to initial and early-stage sources of finance is a vitally important step along the way towards sustainability and success.
Here’s a look at some of the most commonplace and most viable routes to finance currently available to startup businesses. (more…)
Christmas might be a time for giving, but the common perception is that it’s not a time for investing.
However, as John Auckland of TribeFirst reveals, funding statistics surprisingly show that December can be a great month to find investment for your business. (more…)
When you need to find business funding fast, what are your options and what are the quickest ways for you to secure more finance?
We talk you through the most viable fast funding options for SMEs who need finance in a hurry, and include practical tips on how to ensure your funding application goes as swiftly and smoothly as possible. (more…)
Getting funds together to accelerate your venture won’t be a quick task. Choosing the wrong fundraising activities can not only prolong the process, it can even deter investors from backing your business.
So, what are the most common mistakes entrepreneurs make when trying to bring in funding for their companies? (more…)
There may come a point where you end up missing a repayment for a loan or credit card that you have taken out, perhaps as a result of an unexpected financial emergency, or maybe just simply not having kept a track of your finances that month.
One of your first thoughts will be how quickly you can rectify the situation and pay the lender back, but have you also considered that this late payment could affect your credit score negatively? All The Lenders takes a look at how this works, as well as what you can do to also minimise the impact. (more…)
Put simply, Rewards Crowdfunding is the practice of giving lower cost or exclusive items as rewards to early adopters in return for their backing, while Equity Crowdfunding involves selling shares in your business.
To help you understand more about the pros and cons of Rewards and Equity Crowdfunding, and the key points for success, we asked crowdfunding expert, John Auckland of TribeFirst to explain more. (more…)
Look around at the world’s many unpredictable events and it could not be clearer that our political, and social, tectonics plates are shifting.
Fueled by the digital revolution of young technology adoptees who are now reaching adulthood, it is unsurprising that the connected generation is favouring the peer-to-peer model over outdated intermediaries. (more…)
One of the biggest obstacles to growth for start-up businesses is investment. Investors are often reluctant to commit their money to a new business with a promising idea but no track record of success.
Fortunately the Government lent a helping hand in 2012, and introduced the Seed Enterprise Investment Scheme (SEIS) to help smaller, riskier companies attract investors willing to take a punt on a bright idea becoming a successful business. (more…)
The goal of any equity crowdfunding campaign is to catch the attention of investors and convince them that your business is worth backing.
But how does the mind of an investor work? (more…)
The Enterprise Investment Scheme (EIS) is designed to help smaller, risky businesses raise funding to fuel growth.
Early-stage businesses can find it difficult to secure investment, so the EIS was set up to encourage more investors to back fledgling businesses by offering generous tax-breaks.
To help you see whether the EIS could help you raise funding for your business, we asked award-winning chartered tax adviser, Jonathan Amponsah CTA FCCA to explain how it works. (more…)
When it comes to start-up investment, the UK has some of the best tax relief schemes anywhere in the world.
The Enterprise Investment Scheme (EIS), along with its earlier-stage sibling the Seed Enterprise Investment Scheme (SEIS), offer protection of investments in UK start-ups. If the business fails, investors can claim up to 80% of the investment as tax relief against their income tax bill. (more…)
A form of finance which is rapidly gaining popularity in the UK business market is bridging finance. Around £750 million was borrowed through the means of bridging in the year 2011, since then it has only gone up where in 2016, this number went up by £4 billion. (more…)
“Any time is a good time to start a company“, so said renowned American angel investor Ron Conway. That may be true, but how easy is it to find the necessary funding?
The answer largely depends on your understanding of how fundraising should be done. (more…)
Venture capital money going into technology companies in the UK is at an all-time high. A year post-Brexit referendum, British tech firms attracted £2.4bn in funding.
To date this year, UK fintech companies alone have seen £825m of VC investment. So, what do investors look for in tech start-ups and how do you get a slice of this funding for your technology venture? (more…)
Getting finance for your business is no longer just a case of approaching your high street bank manager and asking for a loan. The market is now much more varied, and boasts a huge range of products which have been tailored for more specific purposes. This means it’s easier than ever to find funding that fits your business – if you know where to look.
Asset finance is one such funding solution, but what exactly is asset finance and is it a good option for your business? (more…)
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If you have approached your bank and found it difficult to secure the funds your business requires, you’re in good company. Banks are declining up to 50% of loan requests from some smaller businesses.
Banks’ lending decisions have very little to do with you or the prospects of your business. And their outdated processes and high costs of capital make it difficult for them to lend to smaller businesses.
Business owners are also being frustrated by the inability of banks to provide flexible forms of credit to businesses. This is highlighted by the fact that the availability of business overdrafts, long a favorite tool for businesses to smooth cash flow, has shrunk by more than 30%.
So where else can you get funding for your business?
Since the recession of 2008/2009, there has been a significant reduction in the ability of banks to lend to British SMEs.
Whilst mainstream finance is still great for some businesses, many banks now have lending criteria that small businesses are unable to fulfill.
Fortunately, ‘alternative finance’ can offer a viable substitute for entrepreneurs looking for innovative and flexible ways to fund their business growth.
But before blindly assuming alternative finance is the answer to all your financial woes, there are six things you need to understand before you approach an alternative finance provider looking for funding. (more…)
Borrowing money from a bank to finance your business is a lot harder than getting a loan to buy a new car or to improve your home.
Banks have a number of tough rules that you need to know before you approach them for a business loan, and these rules have become even more stringent as a result of the credit crunch. (more…)
If you are looking to start a new business, there is a good chance that you will need some funding to get it off the ground.
Most businesses will have start-up costs, whether it’s securing premises, stock, equipment or hiring people, and they will all need paying for, so what options are there to fund a new business? (more…)