What is Funding?

Simply put a business will need an external source of finance where the capital needs of the business exceed its own available resources and those of its shareholders.

Without such finance the business may stagnate and be overtaken by faster growing competitors. Funding offers businesses the capital to make the most of an opportunity and for founders to move from owning 100% of a small business to smaller percentages of a much larger business. Finance comes in a number of forms. Different forms of funding suit different businesses and it is important to understand the advantages and requirements of each before approaching funders. These pages also contain a directory of business angels, venture capitalists and commercial lenders.