Loans to open a business. How and where to order them

How and where to apply for loans to open a business

Participations or business actions

Participations or business actions

Getting someone to finance you, especially in the initial moments of a company, is undoubtedly one of the most complicated actions that we will have to face.

A common method of obtaining financing is through actions. By distributing shares of our company we achieve new partners and financing for our project. However this has both its pros and cons. Well, the greater the number of partners, the company’s management is diluted and a coordination effort must be made to meet objectives. Within this method you can resort to:

  • FFF or Fool, Friends and family. Or what is the same, the economic collaboration of friends, family and acquaintances. In the early business phases many resort to this exit to start.
  • Business Angels It may not be one of the most common options in our country, but little by little this profile is growing. These are individuals dedicated to the business world who decide to help financially and with their own experience to new projects. Many times, groups of different individuals are used to obtain a greater amount of financing. Through the Business angels and with different rounds of financing, you can get between € 20,000 and € 100,000 for your project. But without a doubt the most interesting thing about this profile is that they will use their own business experience and knowledge to make your project work.
  • Different investment funds. We refer to venture capital, venture capital or private equity. These investment funds usually set their sights on new companies with high growth potential. In these cases, important economic contributions that exceed several million euros can be achieved. To locate the different investment funds that operate in Spain nothing better than going to Ascri, the Spanish Association of Capital, Growth and Investment. Here you will find listings that will help you in your search.

Incubators

Incubators

This term is probably something unknown or makes you think of places like Sillicon Valey, where most startups are born through incubators. However, the use of these types of initiatives is increasingly expanding in our geography. Companies like Wallapop were born precisely in one of these incubators.

The aids that accelerators give are very varied. They can be economical, they can be training or service provision, etc.

Collective financing

Although not yet highly developed in Spain, it has proven to be a very interesting source of financing in countries such as the United States. Through collective financing, a large amount of capital is obtained with small collaborations of different individuals. The two best known aspects are:

  • Crowlending We are facing a financing with private capital. In this case, individuals are the ones who decide to contribute capital to support one or more business projects on web platforms. A series of payments and interest is established to repay the amount borrowed.
  • Crowfunding These are web platforms where each company or entrepreneur uploads their project to obtain financing. Once on the platform the thousands of users that make it up decide whether or not to contribute capital to the new idea. It is a kind of micro patronage where a very high level of financing is obtained at the collective level. Among the examples we can highlight that of Verkami or Lanzanos. In this case, investors are looking for an economic benefit to their investment, so if the project does not work as you thought, you will most likely end up losing it.

Credit institutions, savings banks and banks

Credit institutions, savings banks and banks

Without a doubt, this type of financing is the one that sounds the most to us all. However, banks and savings banks are very reluctant to offer liquidity to projects that are in their initial stages. Especially after the crisis broke out. Hence, it is an option only when our company is already somewhat larger or has demonstrated its growth and economic capacity.

But we don’t have to be intimidated by that. Credit institutions also manage state aid that can be accessed more easily. We refer to the ICO lines of credit. This type of loans is aimed at both freelancers and companies and even private and public entities. They offer liquidity both to expand inside and outside the Spanish territory. Undoubtedly an interesting option that must be contemplated calmly.

Subsidies and grants

 

Both at the regional and state level, the Government offers different types of aid to entrepreneurs and businesses. These lines of credit are ideal to start developing our business project.

At the state level we can highlight the case of Senai, the national innovation company that offers grants for new entrepreneurs. Do not hesitate to visit their website to learn more about their projects.

It is also quite common for autonomous communities to offer grants to women entrepreneurs or young people. We talk about PAEM or Business Support Program for Women. Take advantage of all the opportunities by informing you at your town hall.