In this article we give you some options to make it easier for you to know how to finance yourself and what kind of funding for entrepreneurs exists.
Our business center is always occupied by entrepreneurs. Many of them already have a business on track but others start in the new journey.
If you are going to start your business project it is always better to start with an initial capital to have investment capacity.
- OWN CAPITAL AND CAPITALIZATION OF UNEMPLOYMENT
You can start your business idea with your own savings, but if you don’t have savings and you are charging the unemployment benefit you can apply for the capitalization of it by going to the Public Employment Service Office of your city. This is a one-time payment of all fees that belong to you for unemployment.
- ICO LOANS
Funding lines offered by theOfficial Credit Institute (ICO) and aimed at entrepreneurs, SMEs and freelancers. They have very attractive financial conditions and allow to finance 100% of the investment.
These loans are a financial alternative for entrepreneurs and SMEs that is renewed every year. Practically every year the following ICO lines are offered:
ICO Companies and Entrepreneurs
ICO SGR Guarantee
ICO Commercial credit
ICO International Channel
- PUBLIC SUBVENTION
This is a financing for an already created company and not for an entrepreneur who starts its activity. There are some aids for self-employed people from regional or state administrations or for more international projects: the European Union. They are linked to the fulfillment of requirements and their award is medium-long term.
- BANK FINANCING
These are credits for entrepreneurs and they usually ask for guarantees and some solvency.
They’re harder to come by, but if you have a small initial capital, banks are more receptive to granting them. In this way, they become partners in your own business.
The main financing routes offered by banks are as follows:
Medium or long-term personal loans with more interest.
Business credits, immediate credits for freelancers, etc.
- PERSONAL LOAN FROM PRIVATE COMPANIES
Companies that act as a source of funding. It is fast money, but the interest rate is usually very high and the repayment period short.
- CROWFUNDING AND CROWDLENDING
Crowdfunding is a type of collective financing of projects made over the Internet. It is an alternative financing tool for conventional and other not-so-common business projects.
You usually ask for an amount of money that people lend you without a refund, but in exchange for something symbolic or a service. You have a more widespread article about crowfunding on the website of Lladó Grup Consultor.
On the other hand there is crowdlending, which would be similar to crowdfunding but people who offer the money are offered a high interest rate.
- BUSINESS ANGELS
They are usually individual investors who risk their wealth by investing in start-up business projects where they see real profitability options.
As you can see there are many ways to fund your project. If you need to find your source of funding for entrepreneurs, at Espai 114 we can help you as we have an advisors team.
We are the Business Center of Badalona, to give visibility and possibilities to your business.
In Espai 114 we are a team; we want to inspire you and accompany you.