Selling shares in your company is one way of raising long-term finance for your business. This is also known as equity finance. The advantage of equity finance is that you don’t always have to repay the finance or pay interest, as you would with an overdraft or bank loan. Shares in a company represent ownership.…
AIM, sometimes referred to as the Alternative Investment Market, is one of the equity markets of the London Stock Exchange. It is a market for smaller, growing companies, and is an alternative to the London Stock Exchange Main Market. AIM can assist companies to raise capital through selling shares of their business to investors. The market attracts a different type of investor…
The Main Market is the London Stock Exchange’s market aimed at larger, more established companies and is one of the biggest stock markets in the world. Your company must fulfil certain requirements to join, but you can then benefit from an increased profile and visibility, as well as access to capital for growth and development.…
Business angels (BAs) are private individuals who invest in start-ups and young companies with good growth prospects, in exchange for a share of the company’s equity. Most BA investments range between £10,000 and £750,000. BAs are free to make investment decisions quickly and often specialise in particular industrial sectors or local companies. Many take an…
Venture capital (VC) funding is a form of private equity investment, where a business obtains long-term funding in exchange for a share of its equity. VC funding is mainly sought by start-ups or new businesses with high growth potential. Companies can also use it to expand, fund management buy-outs or buy-ins, or develop new products.…
Equity finance is a way of raising capital from external investors in return for a share of the business. If you have a viable business with high-growth potential, but you are finding it difficult to obtain bank finance – or are unable to or do not want to pay loan interest – then equity finance…
