Growth financing
Scaling a business requires capital and there are many ways to finance the growth. Get advice on how we can assist you on your growth journey.
Financing growth
In general, this mainly involves using support schemes, obtaining equity and applying for loans. It can be difficult to get an overview of the different opportunities and what the ideal combination of equity and debt is. In this process, we want to be a good adviser as a bank.
Support schemes:
These are grants from government agencies such as The Research Council of Norway, Innovation Norway, The SkatteFUNN Tax Incentive Scheme and different EU schemes that may be attractive capital sources for early growth phase businesses. We are familiar with the various support schemes and can advise you on which schemes may be suitable.
Equity:
Basically, equity financing means that investors can buy a share of the company. Before you enter into a dialogue with potential investors, you should think, among other things, about how much money you will raise, from whom, by which time and at what valuation.
Things to think about when in dialogue with investors:
How do companies fund growth?
Growth expert Maria explains (6:57 mins) (in Norwegian only)
Loans
Loan financing makes sense when you have the ability to pay down debt and the ability to place collateral for the loan. Loans can be provided by the government, banks and private investors. Common to these is an assessment of the risk and your ability to be able to repay the loan.
We have a toolbox of loan products that are adapted to short-term and long-term needs, and we’ll be able to provide advice on what’s most suitable for your growth company.
- Growth guarantee scheme: We work together with Innovation Norway to offer loans under the growth guarantee scheme, and we have helped several hundred growth companies with this type of loan. It’s an attractive loan scheme in which we offer a loan and Innovation Norway places a loss guarantee. Read more about the scheme here
- Growth loan: This is a loan that can be offered to selected growth companies in a pilot phase in 2021-2022. Growth loans will be considered for attractive growth companies within selected sectors and where the company’s business model has big potential in a global market.
Crowdfunding
In recent years, crowdfunding has grown sharply in Norway. Equity-based crowdfunding or loan-based crowdfunding will generally be most applicable during a growth phase.
Equity based: Here, the company communicates directly with investors on a platform. One of the advantages is exposure to many potential investors. A disadvantage may be that ownership shares can be spread across a number of smaller shareholders who primarily are concerned with returns and not how it can help the company in its growth phase.
Loan based: Here, many individuals come together to provide loans to a company through a crowdlending platform. Just like the banks, the crowdlending agencies conduct a thorough assessment of the cases before they are put on the platform.
Get access to advisory services
We work every day to make it easier for your business to grow. We’ll help you navigate everything you need to bear in mind.
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