95% of entrepreneurs worldwide finance their own startups
Limited access to startup finance is a gripe of many entrepreneurs, many of whom can only dream of successfully securing funding from venture capitalists.
The Global Entrepreneurship Monitor 2015-16 Special Report on Entrepreneurial Finance, recently revealed that only 0.16% of small businesses in the United States received venture capital in 2015. The report is the first of its kind since the economic downturn in 2008 and discusses new research which indicates that since the 2008 recession, availability of funding and the cost of starting a business has evolved.
Although startup costs have reduced, obtaining further funding has become much more difficult and consequently entrepreneurs are investing more of their own money into their businesses than in previous years. This has also led to the rise of crowdfunding platforms and community cooperatives as small business owners search for that vital funding to make their ideas happen.
Read more on the report here.