A guide to funding
Any decision to examine funding for your business project should not be taken lightly as a variety of rules and regulations apply.
Grants
Funding in the form of grants is the most sought after because historically grants are interest free and non-returnable. However, this has changed and grants are now only awarded under strict rules and conditions. Some of the criteria include match funding, location, type of organisation, security and the purpose of the project. Failure to meet the conditions will lead to an unsuccessful application, withdrawal of future funding and the possibility of repaying grant money you may have already received.
Loans
Money awarded through loan schemes is repayable over a fixed term at rates of interest agreed with the funding provider. Loans are widely available from a variety of sources including high street banks. Specialist funders can provide loans to start up businesses but a formal process will often involve pitching your idea and working with a mentor.
Application
When applying for any funding the organisation may request:
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a business plan with financial forecasting
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a pitch presentation
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evidence that your project will succeed
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information about project members
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confirmation of alternate sources of funding
See further information about grants and loans on the Business Lincolnshire website