How to finance your business?
Regardless if you are at the beginning of your entrepreneurial road, in the middle or at the end of it, it is crucial for your business to be able to get the right type of financing.
In order to hit the sweet-spot of a financial provider and to grow, an SME has to ask the right questions. Recently published practical guide on raising finance launched by AFME (Association for Financial Markets in Europe) gives an overview of different forms of financing and guides the SMEs through a decision making tree to bring them to most successful solution.
Raising finance for Europe's small & medium-sized businesses
A guide on raising finance for Europe's SMEs is available on AFME website in French, Italian, German, Spanish and English. It asks important questions that help the SMEs to identify the most suitable source of finance depending on financial resources, type of capital and amount needed.
If you want to learn about traditional and alternative sources of loan finance, the guide provides a thorough overview on bank and non-bank loans, leasing, equipment finance, invoice financing, trade finance, peer-to-peer lending and crowdfunding.
Equity side is also discussed in the guide. Anyone who would like to get their first flavour on raising equity should consult section 5 with references to family and friends, equity crowdfunding, business angels, venture capital, private equity and equity listings. For bigger SMEs there is a section on bonds.
Pan-European and government SME support schemes
This section no.6 gives a very good overview of the EU programmes as well as other pan-European and national initiatives. The Access to Finance Portal mentioned there is definitely one of the main access points for any SME searching for finance. It also permits you to conduct a search depending on amount, country, company category, type of finance, investment focus and source.