An entrepreneur with an existing business or a promising business idea that requires funding can access funding due to following reasons:
- Government interventions: Governments support local entrepreneurs because they are key drivers of any economy. Local entrepreneurs create jobs, generate revenue for government by paying taxes, and contribute to national GDP.
- Profit: The purpose of every investor, bank, venture capital and private equity firm is to invest for profit. If no investment is made, there will be no profit.
- Foreign policy: Annually, the international development organizations of developed nations spend huge amounts to fund promising ideas, projects and initiatives all over the world.
- Social impact: Numerous NGOs, Corporate organizations and philanthropists invest actively in entrepreneurs every year. The funds they invest are usually given as grants, prize money and donations as part of an organization’s corporate social responsibility, societal impact efforts or for enhanced public perception.
- Innovation race: Every year, multinational organizations spend billions on programs that allow them to identify and nurture top talents, discover disruptive business ideas that could change industry landscape.
To be able to access funding on the above listed basis, you have to align your business to appeal to the motivations of these fund providing organizations. Do your due diligence. Look out for any of the funding organizations that best suits you and put your best feet forward.