Financial initiatives to support business growth are continually being announced by the Government, local authorities, individuals and private-sector companies.
Funding from private companies often aims to nurture specific industries, particularly high-growth sectors like technology, sustainable manufacturing and healthcare. They might target general growth or specific projects, such as the development of a new product.
If your business is considering obtaining funding to achieve its goals, here’s what you need to know.
How to access funding
Depending on the provider, there are many different ways to access private-sector financing. You’ll need to consult the providers’ individual criteria to decide whether you’re eligible for the funding and whether it’s right for you.
Here are a few key items to consider when trying to access funding:
- Eligibility criteria: Each funding option comes with specific eligibility criteria. Make sure to read the fine print and understand what’s required before you apply – including all relevant information in your application pack.
- Professional support: Consulting with an accountant can help you prepare a winning application, complete with financial projections and other essential documents.
- Networking: Connections within your industry could lead you to investors or inform you of funding opportunities you might not otherwise be aware of.
An accountant will be able to help you identify the right sources of funding for you.
Managing the funding for growth
Securing funding for your projects is only the first step towards achieving genuine growth. Once you have obtained your funding, you must effectively manage it to optimise its potential. Here’s how:
- Budget is everything: A detailed budget will help you to allocate funds to different business departments according to the business plan that you presented in your funding application – making the most of your cash.
- Set milestones: Your budget should be linked to specific business milestones. Quantitative data and key performance indicators (KPIs) can help you easily track your progress and make adjustments as needed.
- Don’t stop monitoring: Regular financial reviews will help you understand if you’re on track to meet your goals or if you need to adjust your strategy.
- Transparency: If your funding comes from investors or grants that require reporting, make sure you maintain complete transparency in how the funds are being used.
Make the most of funding
Before you seek private funding for your business – and throughout the process – we encourage you to consult an accounting expert to make sure that it’s the right thing for you.
For example, an accountant can help you assess your current financial health – showing you whether you’re ready for further funding, and how you can maximise its impact.
Please don’t hesitate to contact our team for further guidance on growing your business through external funding.