• How to improve chances of securing the desired funding?

• Funding options and the different stages of business life

• Funding for start-ups

New start-ups often find it difficult to obtain funding from financial institutions and investors, because statistically worldwide,

• 40% business failed in the 1st year of operation
• 80% of the balance collapsed in the 1st 5 years
• Another 80% cannot survive the next 5 years

Hence, funder generally favours one that has demonstrated an established business track record.

Nevertheless, the common funding options for start-ups include:-

• Via personal savings or borrowings e.g. refinancing of houses and other assets
• Assistance from friends and family
• Credit support from trade suppliers
• Government grants and incentives for those qualified

Financial institutions including banks, venture capital, private equity funds, etc. would be more prepared to consider funding start-ups if the key conditions as follows are met:-

• Spin-off from an established business set-up
• Strong management team
• Proportionate financial commitment from promoters or shareholders
• Commitment obtained from customers
• Promising market outlook