Funding
Of all the areas of starting and scaling a business that most founders are unsure of it is raising finance. For some, the questions are more basic, whilst for others the questions can be more detailed. Perhaps two of the reasons why there are always so many questions about raising finance is that it is so important for the future growth of the business and indeed that it is such a complex area.
Research and development (R&D) tax relief was introduced by the government in the year 2000 to encourage UK company investment into innovative projects. Serving as a lucrative tax incentive, the scheme is open to any UK company that’s registered for Corporation Tax, regardless of size or sector. However, there’s still a widely held and outdated assumption that R&D only happens in science labs or ‘techie companies’ which simply isn’t the case.
Chargebacks are a thorn in the side of merchants across all verticals. Here we take a look into the root causes of chargebacks, and how you can best defend your business against potential losses.
Wednesday 9th March sees the launch of the latest iteration of the UK Government G-Cloud.
International Women’s Day shines a light on the amazing work of women across multiple industries. However, it also serves as an important reminder that a lack of diversity remains an ongoing issue, especially within the venture capital industry.
AQRU, an incubator specialising in decentralised finance (DeFi), announced that it has acquired Bison Exchange UAB (Bison), a blockchain technology company registered in Lithuania, for a cash consideration of €30,000.
I always say that numbers speak for themselves. So it’s doubtful that these numbers will surprise female founders anywhere. Pitchbook data from earlier this year showed that, despite record levels of capital invested in Europe, female founders received just 0.7% of the total funding – €400m (about $473m). The picture isn’t much more encouraging in the US; last year, female-only founded companies garnered 2.2% of the total capital invested in venture-backed startups.
The launch of the Seed Enterprise Investment Scheme (SEIS) in 2012 was a game changer for startups across the UK. Launching a company from the ground up is a difficult endeavour but the new tax benefits, which encouraged investment in small and potentially riskier enterprises, were a boon for investors and business owners alike.
According to research, 38% of startups fail in the UK each year because they run out of cash or fail to raise new capital.
As our world becomes more interconnected, so too does the need for banking systems to follow suit. In the past, businesses and individuals were often restricted to banking in a single country, but the rise of borderless banking is enabling both to benefit from greater financial freedoms. In this article, we will examine why this trend is so important and explain how Fintech companies are helping to make it possible.
We are entering a new phase of climate-aligned investing. At COP26 last month, green investment was a cornerstone of conversation and debate, with innovation and technology highlighted as crucial mechanisms for tackling climate change. Now – more than ever – investment communities of all shapes and sizes are expected to back startups that are not only committed to sustainability and a zero-carbon economy, but are also using innovation to actively solve the climate crisis.
Launching a startup is one of the most challenging steps you’re going to take in your professional life. But it will be worth it if you play your cards right. Without a doubt, the COVID-19 pandemic has had a major impact on the way SMBs operate, but as a startup you need to consider many other challenges that lie between you and long-term success.
In the new digital economy, the rapid growth of cloud software is hardly surprising. In the aftershock of the pandemic, as hybrid working practices remain as prevalent as ever, companies face a critical need to enable staff to access data safely, without necessarily needing to return to the office. Elsewhere, organisations will be looking to cut costs, and store information safely with additional flexibility.
Global VC funding broke new ground in the first half of 2021, with a staggering $288bn invested worldwide.
When it comes to considering how best to raise pre-seed or seed finance for your business, one of the most commonly asked questions is whether getting investment from business angels or crowdfunding would be better. It could be argued that business angels are just much wealthier versions of people that invest on crowdfunding platforms. As such, in reality it is more a case of a small number of angels can replace a much larger crowd.
Having decided that you want to scale your business and that you need more money to do this properly, you will then need to carefully consider all the different options available and make sure that you get the best funding and from the best source.
The post-mortem on Rishi Sunak’s Autumn Budget has focused on the politics of tax and spend, but I have heard very little discussion about an equally important question – where was the support for entrepreneurs?
HMRC’s recently-released annual Enterprise Investment Scheme (EIS) and Seed Enterprise Investment Scheme (SEIS) statistics made for interesting reading. While the 2019/2020 numbers don’t offer a full account of Covid-19’s impact on the market, funding from EIS rose to £1.905bn – up from £1.867bn in 2018/2019 – with SEIS funding marginally down, from £171m in 2018/2019 to £170m in 2019/2020. Combined, EIS and SEIS have now helped over 45,000 startups receive over £25bn in funding. A testament not only to the two schemes, but to the UK’s entrepreneurial spirit.
The COVID-19 pandemic has steered the banking industry worldwide towards digital transformation. Traditional financial services became redundant overnight leading to a historic rise in the adoption of fintech platforms across the world. Cashless payments became more popular due to the need to lead our daily lives in a contactless manner.
Customer Acquisition Cost (CAC) is the cost of acquiring a customer to purchase products. It works along with the Customer Lifetime Value (CLV). CAC is an important term for growth businesses.
