Funding opportunities

At some point, you will likely need to look for business financing throughout the growth of your small business, whether it’s to address short-term cash flow concerns or to fund the expansion of your company over a longer period of time. Depending on the type of your company, the specific difficulties you confront, or the chances you wish to seize, there are a variety of business funding choices accessible to you.

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There are several ways of funding your craft microenterprise, traditional and alternative, that will be presented below.

1. Bank Loans: Traditional bank loans are still one of the most popular sources of debt financing for small businesses and start-ups. This option is suitable for a business that has a good relationship with its bank, a sound credit history and a compelling business case. You should research loan types, terms, and interest rates thoroughly to find the most appropriate deal for you.
2. Crowdfunding: Crowdfunding is the practice of using modest sums of money from many people to finance a new business venture. Crowdfunding uses social media and crowdfunding websites to connect investors and entrepreneurs. By enlarging the pool of investors outside the typical circle of owners, family, and venture capitalists, crowdfunding has the potential to boost entrepreneurship. A very common platform for content creators is Patreon, which provides them business tools to run a subscription service.
3. Venture Capital: Professional investors known as venture capitalists make substantial financial commitments to businesses in exchange for stock stakes. In order to help the firm, grow swiftly and realize a fair return on their investment in a reasonably short period of time, they often invest in young companies with significant growth potential. Venture capitalists often provide both money and experience, but you must be willing to give up a sizeable portion of your company.
4. Business Angels: A private individual who directly invests some of their assets in start-up and expanding private firms is known as a business angel. They are typically high net worth individuals with prior business experience. Business angels can make individual investments or participate in syndicates, where one angel often assumes the leadership position. In addition to funding, they offer contacts, company management expertise, and talents. Angel investors with experience are aware that they might have to wait for a return on their investment. As a result, they may be a reliable supply of “wise and patient” capital.
5. Micro Funding: Microfinancing is a sort of finance that, particularly in the developing world, has a big impact on enterprises. Business owners in the social sector, who might not have access to traditional financing, face particularly severe funding challenges. One approach might be microlending. Microfinance loans are made to assist ambitious business owners in generating income, accumulating assets, managing risks, and meeting their basic necessities. Low-income business owners who might not be eligible for typical credit and lending choices might access financing through microfinance. Small loans, or microloans, savings accounts, and insurance coverage are all types of microfinance products (microinsurance).
6. National Funding programs: Each country has its own national strategy for development, and offers different types of funding, based on the objectives of each national strategy. Those programs are being managed by the Ministry of Development and Ministry of Finance of each country, as well as by other private organizations.
7. EU Funding programmes: Grants, financial instruments, subsidies, trust funds rewards, and procurements are some examples of the various forms of funding. The Financial Regulation of the EC and the calls generally govern the implementation guidelines for all forms of funding. There are several EU funding programs available for crafters and artisans, for co-creation, upskilling, residencies and mobilities:

• WORTH Partnership Project: It is supported by the European Commission through COSME, the EU Program for Small and Medium-sized Enterprises’ Competitiveness. It is the only project in Europe where designers, SMEs, manufacturers, and tech companies collaborate to create cutting-edge, design-focused business ideas.
• European Solidarity Corps – Solidarity Projects for Individuals: A Solidarity Project is a non-profit solidarity project that young people themselves design, develop, and carry out for a duration of two to twelve months.
• Erasmus for Young Entrepreneurs: It’s a cross-border exchange program that enables aspiring young businesspeople to collaborate with and learn from more seasoned businesspeople running small enterprises abroad.
• Education, Training and Youth – Key Action 1, Mobility projects: The fundamental goal of those projects is to assist students to acquire information, skills, and attitudes, including language proficiency. Their employability will increase, and the labour market’s career prospects will improve.
• Culture Moves Europe: By enabling artists and cultural professionals to work, perform, and co-produce across borders, Culture Moves Europe was developed to increase mobility opportunities, foster international collaborations, and open up career opportunities. This gives them access to new markets, helps them draw in new audiences or followers, and strengthens international collaborations.
• Startup-Europe (Horizon Europe): Startup Europe is an initiative connecting high tech startups, scaleups, investors, accelerators, corporate networks, universities, and the media to accelerate growth of the European startup scene.
• STARTS programme (Horizon Europe): A platform called S+T+ARTS aspires to better connect technology and creative practice in order to address the social, environmental, and economic difficulties that Europe is currently facing. Through the cooperation of artists, scientists, engineers, and researchers, it promotes the development of more innovative, inclusive, and sustainable technology.

Reminder!! Get in touch with a business and/or financial consultant to ensure that you will receive the funds.