How Can Flemish Startups Get Funding?

How Can Flemish Startups Get Funding?
November 14 14:47 2018 Print This Article

During the different stages of your startup, you will need various kinds of funding. From seed funding to growth investment and investment rounds to scale up.

The Flemish startup ecosystem can deliver several types of capital injections to meet the needs during all levels. The government provides several funding opportunities, which you can find via the Startup Box and subsidies. But there are also individual investment plans and bank loans accessible to startups, and you can profit from tax relief plans for starting businesses.

Moreover, there are many Dutch and European state grants & subsidies that support the economic needs of innovative startups. But if you are getting funding from other nations, then you need to have your business documents translated before getting into finding funding, and professional Flemish translation services will be of a great help at that.

The Flemish government needs to make it simpler for small and middle-sized businesses to get money and finance growth. Until 2019 the government will issue some measures which, joined with private investment, should raise up to 2,5 billion euros of further funding.

  • Financial help for business people

The Minister of Economic Affairs, said the House of Representatives last week: “Entrepreneurs see improving chances for growth in the developing economy. Unfortunately, entrepreneurs are usually in a weak financial position, which raises the risk for banks, leading to insufficient financing options through banks”.

  • Government as guarantor

The government will stand as a sponsor for different funds. This should spur private financiers to give additional market funding. The Ministry of Economic Affairs will also support 500 million euros for the financing of an achtergesteldeleningenfonds, or subordinated fund, to be set by private investors.

In addition to these projects, the government will offer approximately 400 million euros in guarantees for alternative funding actions such as through credit unions and crowdfunding.

  • Loans

A conventional method of financing startups: you obtain from the investors/lenders an allowed amount and return the principal and interest to them after a specified period.

Loans can be given by the banks in the Netherlands, such as Rabobank, ING, and ABN Amro or other banks such as Triodos. The loan stocks of some banks are compared on comparison sites such as independer.nl.

If you can’t get a conventional bank loan, (aspiring) entrepreneurs can turn to microcredit institutions such as www.qredits.nl for funding up to € 250,000. Qredits is an organization that works with various banking partners as well as associates such as Accenture to offer credit as well as coaching.

  • Crowdfunding

Crowdfunding allows entrepreneurs to grow small numbers of capital from a large group of individuals via the Internet to finance their business venture. The following crowdfunding opportunities exist:

  1. Geldvoorelkaar.nl is a Dutch crowdfunding program for firms.
  2. Projectgeld.nl is a Dutch crowdfunding program for all kinds of projects.
  3. Symbid is a Dutch crowdfunding program for young encouraging firms.
  4. The Dutch Dea is a Dutch crowdfunding program for entrepreneurs.
  5. CrowdAboutNow is a Dutch crowdfunding program for new and old businesspeople. The investment is to be given back with interest to investors.
  6. OnePlanetCrowd is a Dutch crowdfunding program for sustainable enterprises.
  7. Leapfunder is a Dutch crowdfunding program for entrepreneurs.
  8. weShape is a Dutch crowdfunding program for projects focused on social impact, art, sports, technology, and education.
  • More funding via the DVI

The government will also add 100 million euros to the Dutch Venture Initiative (DVI) to support existing funds to give equity to small and medium-sized companies.

A D66 idea

In boosting the DVI, Minister Kamp is making partial use of the toekomstfonds, or future fund, innovation and engaging initiative stated by the D66 party a few weeks ago. KeesVerhoeven, a D66 member of parliament, declared that it was good the government was already pushing forward with the initiative.

On the other hand, MKB Nederland, the largest entrepreneurs’ organization in the Netherlands makes a rapid implementation to avoid disrupting increase.

  • Funds and grants

Answers for Business is the Point of Single Contact (PSC) of the Dutch state for businesses and entrepreneurs. PSC helps you deal with matters such as what grants you can apply for when starting a business in the Netherlands.

Dutch Good Growth Fund (DGGF) helps Dutch SMEs and businesspeople in developing markets and provinces, by providing a source of funding for development-relevant regional exports and investments. Applications can be submitted for projects that generate new local jobs, improve the generation range of domestic industry, and provide to the transfer of information to the developing country concerned.

WBSO (R&D tax credit) and RDA (Research and Development Allowance) are two economic schemes by the Ministry of Economic Affairs that tries to spur entrepreneurs to expand their investment in research. The supplements are in the kind of a payroll tax deduction, social security contributions and deductible items from your income tax or corporate income tax return.

I hope this information will help you get funds for your Flemish Startup!

  Article "tagged" as:
  Categories:
view more articles

About Article Author

Melinda Woodward
Melinda Woodward

View More Articles
write a comment

0 Comments

No Comments Yet!

You can be the one to start a conversation.

Add a Comment

Your data will be safe! Your e-mail address will not be published. Also other data will not be shared with third person.
All fields are required.