British Columbia Innovation Council

Did You Know

  • BC's digital media and wireless sector is comprised of over 1,300 companies generating revenues in excess of $3 billion per year. Read more

Funding

Funding is required to provide resources necessary to launch or carry on a business that has insufficient resources available through the day to day operations or existing assets. Funding is typically cash but may come in other forms such as "sweat equity", exchange of services or goods, and deferred payments. Equity and debt financing are two common sources of business funding. Equity financing is an exchange of money for a share of company ownership. Debt financing is borrowing money from a source with the promise to return the principal amount often with interest. There are many variations of equity and debt financings and oftentimes, the funding may be a combination of both.

Common equity and debt financing sources include friends, family, governments, non-for-profit organizations, competitions, angels, venture capital firms and commercial loans.

Why is it important?

Adequate funding is critical to the success of any business. Fortunately, there are many capital sources to exploit once you know the amount required to start and grow your business. This is often determined by planning your capital structure.

Resources

Government

The provincial and federal government may have grants and funding programs that provide loans. Learn More

Non-Government

There are many general and industry specific non-governmental organizations that provide services benefiting startup companies. Learn More

Competitions

A competition is an opportunity to compete with other entrepreneurs for a monetary prize. Learn More

Angels

Angel investors are individuals who invest in startup businesses with their own money.Learn More

Venture Capital

Venture capital firms invest in early- and mid-stage businesses for a limited timeframe in exchange for some level of ownership of the business. Learn More