We were in the business of Robotic process automation and machine learning and in the process we developed a rich and diverse network of startup companies, Venture capital companies, and VC advisories.
Hence we are now helping companies to connect with potential Global investors, for those who are looking for funding to scale up their business.
Mostly these Global investors are solely looking for equity investments.
Our Investor seeks to invest in companies that are offering good business models and technologies.
Naruna has deep relationships with a network of Global Investors and strategic partners, connecting you to the financial service leaders who can be your future clients.
We focus on Indian companies growing across the region and global companies expanding into Asia.
Our VCs invest in companies built by entrepreneurs with specific domain expertise, and strong industry networks and are looking at solving difficult problems using the technologies of today and tomorrow like artificial intelligence, IoT, Robotic Process Automation, etc.;
What do we offer?
- Access to VCs and industry connections
- Get expert strategic advice
What do we need from you?
- Pitch deck for Investors
- Valuation of your company
- Financial model
- Current and projected revenue etc.
We assure you of a good bridge through our network so that you can connect with a potential investor.
Contact us on +91-9866310104
Introduction for Funding
Definition of funding and why it is important for businesses and organizations
Funding refers to the financial resources that businesses and organizations use to finance their operations, projects, and initiatives. Funding can come in the form of debt, equity, or grants, and can be obtained from a variety of sources such as banks, investors, and government agencies.
Funding is an important aspect of business and organizational development, as it provides the necessary resources to support growth and expansion. Without sufficient funding, businesses and organizations may struggle to finance their operations, pay their employees, and invest in new opportunities. Therefore, obtaining the right type of funding at the right time is crucial for the success of businesses and organizations.
There are different types of funding that businesses and organizations can consider, each with its own pros and cons. Debt funding, for example, involves borrowing money from a lender and repaying it with interest. Equity funding involves selling a stake in the business or organization in exchange for investment. Grants are financial awards that are provided to support specific projects or initiatives and do not need to be repaid.
Businesses and organizations should carefully consider the type of funding that is most suitable for their needs, taking into account their financial goals, risk tolerance, and other factors. It is also important to carefully research and compare different funding options and to negotiate terms that are favorable and sustainable for the business or organization.
Overview of different types of funding (e.g. debt, equity, grants)
There are several types of funding that businesses and organizations can consider when looking to finance their operations, projects, and initiatives. These include:
Debt funding: Debt funding involves borrowing money from a lender, such as a bank or financial institution, and repaying it with interest. Examples of debt funding include loans, lines of credit, and bonds. Debt funding is a popular option for businesses and organizations that need short-term financing or that do not want to give up an ownership stake in their company. However, debt funding also carries the risk of default if the borrower is unable to repay the loan, and can also result in high-interest payments over time.
Equity funding: Equity funding involves selling a stake in the business or organization in exchange for investment. Examples of equity funding include angel investing, venture capital, and crowdfunding. Equity funding is a good option for businesses and organizations that need long-term financing or are willing to give up an ownership stake in exchange for investment. However, equity funding can result in a dilution of ownership and can also require giving up some control to investors.
Grants: Grants are financial awards that are provided by government agencies, foundations, and other organizations to support specific projects or initiatives. Grants do not need to be repaid but may come with certain requirements or restrictions. Grants are a good option for businesses and organizations that are seeking funding for a specific project or that are working in a specific area, such as research and development or social impact. However, grants can be competitive and may require a lot of time and effort to apply for and secure.
Overall, businesses and organizations should carefully consider the type of funding that is most suitable for their needs, taking into account their financial goals, risk tolerance, and other factors. It is also important to carefully research and compare
Types of funding
There are several types of funding that businesses and organizations can consider when looking to finance their operations, projects, and initiatives. These include:
Debt funding: Debt funding involves borrowing money from a lender, such as a bank or financial institution, and repaying it with interest. Examples of debt funding include loans, lines of credit, and bonds. Debt funding is a popular option for businesses and organizations that need short-term financing or that do not want to give up ownership stake in their company. However, debt funding also carries the risk of default if the borrower is unable to repay the loan, and can also result in high interest payments over time.
Equity funding: Equity funding involves selling a stake in the business or organization in exchange for investment. Examples of equity funding include angel investing, venture capital, and crowdfunding. Equity funding is a good option for businesses and organizations that need long-term financing or that are willing to give up ownership stake in exchange for investment. However, equity funding can result in dilution of ownership and can also require giving up some control to investors.
Grants: Grants are financial awards that are provided by government agencies, foundations, and other organizations to support specific projects or initiatives. Grants do not need to be repaid, but may come with certain requirements or restrictions. Grants are a good option for businesses and organizations that are seeking funding for a specific project or that are working in a specific area, such as research and development or social impact. However, grants can be competitive and may require a lot of time and effort to apply for and secure.
Overall, businesses and organizations should carefully consider the type of funding that is most suitable for their needs, taking into account their financial goals, risk tolerance, and other factors. It is also important to carefully research and compare different funding options and to negotiate terms that are favorable and sustainable for the business or organization.
Debt funding: Definition and explanation of debt funding, including loans, lines of credit, and bonds. Pros and cons of debt funding.
Debt funding is a type of funding that involves borrowing money from a lender, such as a bank or financial institution, and repaying it with interest. Debt funding is a popular option for businesses and organizations that need short-term financing or that do not want to give up an ownership stake in their company.
There are several types of debt funding that businesses and organizations can consider, including:
Loans: A loan is a fixed amount of money that is borrowed from a lender and repaid over a set period of time. Loans can be secured, which means that they are backed by collateral, or unsecured, which means that they are not backed by collateral.
Lines of credit: A line of credit is a flexible financing option that allows a business or organization to borrow up to a certain amount of money, as needed. A line of credit is usually secured by collateral, and the borrower only pays interest on the amount of money that is actually borrowed.
Bonds: A bond is a type of debt instrument that is issued by a government or corporation in order to raise capital. Bonds are issued for a specific period of time and pay a fixed rate of interest.
There are several pros and cons to debt funding:
Pros:
Debt funding is typically easier to obtain than equity funding, as lenders are more willing to lend money to businesses and organizations that are perceived as having a low risk of default.
Debt funding does not require giving up an ownership stake in the business or organization.
Debt funding can be a good option for businesses and organizations that need short-term financing or that do not want to give up control to investors.
Cons:
Debt funding carries the risk of default if the borrower is unable to repay the loan.
Debt funding can result in high-interest payments over time, which can be a burden for businesses and organizations that are struggling financially.
Debt funding may require collateral, which can be risky for businesses and organizations that do not have sufficient assets to secure a loan.
Equity funding: Definition and explanation of equity funding, including angel investing, venture capital, and crowdfunding. Pros and cons of equity funding.
Equity funding is a type of funding that involves selling a stake in the business or organization in exchange for investment. Equity funding is a good option for businesses and organizations that need long-term financing or are willing to give up an ownership stake in exchange for investment.
There are several types of equity funding that businesses and organizations can consider, including:
Angel investing: Angel investing refers to the practice of individuals providing capital to early-stage businesses in exchange for an ownership stake. Angel investors are typically wealthy individuals who are looking for high-risk, high-reward investment opportunities.
Venture capital: Venture capital is a form of equity funding that is provided by professional investors to businesses that are perceived as having high growth potential. Venture capital firms typically invest in businesses that are in the early stages of development and have a strong potential for scaling.
Crowdfunding: Crowdfunding is a way for businesses and organizations to raise capital by soliciting small investments from a large number of people, usually through an online platform. Crowdfunding can be an attractive option for businesses and organizations that are looking to raise funds from a large number of people, and can also be a way to build buzz and engagement around a product or project.
There are several pros and cons to equity funding:
Pros:
Equity funding provides a long-term source of capital for businesses and organizations.
Equity funding can be a good option for businesses and organizations that are seeking to scale and grow rapidly.
Equity funding can provide valuable expertise and connections through investors.
Cons:
Equity funding requires giving up an ownership stake in the business or organization.
Equity funding can result in a dilution of ownership, as more equity investors may be added over time.
Grants: Definition and explanation of grants, including government grants, foundation grants, and corporate grants. Pros and cons of grants.
Grants are financial awards that are provided by government agencies, foundations, and other organizations to support specific projects or initiatives. Grants do not need to be repaid, but may come with certain requirements or restrictions. Grants are a good option for businesses and organizations that are seeking funding for a specific project or that are working in a specific area, such as research and development or social impact.
There are several types of grants that businesses and organizations can consider, including:
Government grants: Government grants are provided by federal, state, and local government agencies to support a wide range of projects and initiatives. Government grants are typically competitive and may require a lot of time and effort to apply for and secure.
Foundation grants: Foundation grants are provided by private foundations, such as charitable foundations or family foundations, to support specific projects or initiatives. Foundation grants may be more flexible than government grants, but may still have certain requirements or restrictions.
Corporate grants: Corporate grants are provided by businesses and corporations to support specific projects or initiatives. Corporate grants may be focused on issues that align with the business or corporation’s values or goals, and may also be more flexible than government or foundation grants.
There are several pros and cons to grants:
Pros:
Grants do not need to be repaid, making them a low-risk source of funding.
Grants can provide funding for specific projects or initiatives that may not be eligible for other types of funding.
Grants can be a good option for businesses and organizations that are working in a specific area, such as research and development or social impact.
Cons:
Grants can be competitive and may require a lot of time and effort to apply for and secure.
Grants may come with certain requirements or restrictions, such as reporting requirements or restrictions on how the funding can be used
III. Finding funding
There are several steps that businesses and organizations can take to find funding:
Research funding options: It is important to research and identify potential funding sources that align with the needs and goals of the business or organization. This may include looking for grants, loans, or equity investments that are specific to the industry or sector in which the business or organization operates.
Prepare a business plan: A business plan is a document that outlines the goals, strategies, and financial projections of a business or organization. A strong business plan can be an important tool when seeking funding, as it provides a clear and compelling case for why the business or organization is a good investment.
Create a budget: A budget is a financial plan that outlines the expected income and expenses of a business or organization. Creating a budget can help a business or organization identify how much funding is needed, and can also help to demonstrate financial discipline and stability to potential funders.
Gather supporting documents: When applying for funding, businesses and organizations may need to provide supporting documents such as financial statements, tax returns, and business licenses. It is important to gather these documents in advance to ensure that the funding application process goes smoothly.
Network and pitch: Networking and pitching to potential funders can be an effective way to find funding. This may include attending industry events, participating in pitch competitions, or reaching out to potential investors or funding sources directly. It is important to be prepared to clearly and concisely communicate the value proposition and potential return on investment of the business or organization to potential funders.
Researching funding options: Tips for researching and identifying potential funding sources.
Here are some tips for researching and identifying potential funding sources:
Identify your funding needs: The first step in researching funding options is to identify the specific funding needs of the business or organization. This may include determining the amount of funding needed, the type of funding that is most suitable (e.g. debt, equity, grants), and the time frame in which the funding is needed.
Research potential funding sources: There are many different sources of funding available, including banks, investors, and government agencies. It is important to research and identify potential funding sources that align with the needs and goals of the business or organization. This may include looking for grants, loans, or equity investments that are specific to the industry or sector in which the business or organization operates.
Understand the terms and conditions: It is important to carefully research and compares the terms and conditions of different funding options, including interest rates, repayment terms, and equity requirements. This will help to ensure that the funding is sustainable and favorable for the business or organization.
Check the eligibility requirements: Different funding sources may have different eligibility requirements, such as minimum revenue, credit score, or industry experience. It is important to check the eligibility requirements of potential funding sources to ensure that the business or organization qualifies.
Network and seek advice: Networking and seeking advice from industry experts and other business owners can be a valuable way to identify potential funding sources. This may include attending industry events, joining professional organizations, or reaching out to industry experts or other business owners for advice.
Applying for funding: Tips for preparing a funding application, including developing a business plan, creating a budget, and gathering supporting documents.
Here are some tips for preparing a funding application:
Develop a business plan: A business plan is a document that outlines the goals, strategies, and financial projections of a business or organization. A strong business plan can be an important tool when seeking funding, as it provides a clear and compelling case for why the business or organization is a good investment.
Create a budget: A budget is a financial plan that outlines the expected income and expenses of a business or organization. Creating a budget can help a business or organization identify how much funding is needed, and can also help to demonstrate financial discipline and stability to potential funders.
Gather supporting documents: When applying for funding, businesses and organizations may need to provide supporting documents such as financial statements, tax returns, and business licenses. It is important to gather these documents in advance to ensure that the funding application process goes smoothly.
Understand the application process: Different funding sources may have different application processes, so it is important to carefully research and understand the steps involved in applying for funding. This may include filling out an application form, writing a proposal, or participating in an interview or pitch process.
Prepare for due diligence: Some funding sources, such as venture capital firms or angel investors, may conduct due diligence on the business or organization before deciding to invest. Due diligence is the process of thoroughly reviewing and verifying the financial and operational aspects of the business or organization. It is important to be prepared for due diligence by having accurate and up-to-date financial records and other supporting documents.
Negotiating terms: Tips for negotiating terms with a funding source, including interest rates, repayment terms, and equity.
Here are some tips for negotiating terms with a funding source:
Research and compare options: It is important to research and compare different funding options in order to negotiate the best terms for the business or organization. This may include comparing interest rates, repayment terms, and equity requirements of different funding sources.
Understand the needs of the funding source: It is important to understand the needs and goals of the funding source, as this will help to inform the negotiation process. For example, an investor may be more willing to accept higher equity or a longer repayment period if they believe that the business or organization has strong growth potential.
Communicate clearly and concisely: It is important to clearly and concisely communicate the value proposition and potential return on investment of the business or organization to the funding source. This may include outlining the growth potential of the business or organization, the competitive advantage it has in the market, and the projected financial returns for the funding source.
Be prepared to compromise: Negotiating terms with a funding source is often a give-and-take process, and it is important to be prepared to compromise in order to reach an agreement. This may involve accepting higher equity or a longer repayment period in exchange for a lower interest rate or other favorable terms.
Seek legal advice: It is important to seek legal advice when negotiating terms with a funding source, as there may be legal considerations and implications that need to be taken into account. A lawyer can help to review and negotiate the terms of the agreement and ensure that the interests of the business or organization are protected.
Managing funding
Here are some tips for managing funds:
Create a financial plan: A financial plan is a document that outlines the financial goals and strategies of a business or organization. It is important to create a financial plan in order to effectively manage funding, as it will help to guide financial decision-making and ensure that the funding is used in a way that aligns with the goals of the business or organization.
Monitor cash flow: It is important to monitor cash flow in order to ensure that the business or organization has sufficient funds to meet its financial obligations. This may involve tracking income and expenses, forecasting future cash flow, and making adjustments as needed.
Manage debt: If the business or organization has taken on debt as part of its funding, it is important to manage the debt effectively in order to avoid default. This may involve making timely payments, negotiating favorable terms, and seeking advice from financial advisors or legal counsel.
Communicate with funding sources: It is important to communicate with funding sources, especially if the business or organization is experiencing financial challenges. This may involve updating the funding source on the financial performance of the business or organization, and seeking additional funding or modifying the terms of the agreement if necessary.
Seek advice: Seeking advice from financial advisors, lawyers, or other industry experts can be a valuable way to manage funding effectively. These professionals can provide guidance on financial planning, debt management, and other financial considerations.
Tracking and reporting: Tips for tracking and reporting on the use of funding, including budgeting, forecasting, and financial reporting.
Here are some tips for tracking and reporting on the use of funding:
Create a budget: A budget is a financial plan that outlines the expected income and expenses of a business or organization. Creating a budget can help to track and report on the use of funding by providing a clear overview of the financial performance of the business or organization.
Forecast future cash flow: Forecasting future cash flow can help to anticipate and plan for future funding needs. This may involve projecting income and expenses based on past performance, market trends, and other relevant factors.
Use financial reporting tools: Financial reporting tools, such as financial statements and dashboards, can be a valuable way to track and report on the use of funding. These tools can provide a detailed overview of the financial performance of the business or organization, including revenue, expenses, and profitability.
Communicate with funding sources: It is important to communicate with funding sources on the use of funding, especially if the business or organization has received debt or equity funding. This may involve providing regular financial reports or updates on the financial performance of the business or organization.
Seek advice: Seeking advice from financial advisors or other industry experts can be a valuable way to track and report on the use of funding effectively. These professionals can provide guidance on financial reporting, budgeting, and forecasting, and can help to ensure that the business or organization is in compliance with any reporting requirements.
Repaying debt: Tips for repaying debt in a timely and responsible manner.
Here are some tips for repaying debt in a timely and responsible manner:
Understand the terms of the loan: It is important to carefully review and understand the terms of the loan, including the interest rate, repayment schedule, and any fees or penalties associated with the loan. This will help to ensure that the business or organization is prepared to meet its financial obligations.
Create a budget: A budget is a financial plan that outlines the expected income and expenses of a business or organization. Creating a budget can help to ensure that the business or organization has sufficient funds to make timely debt payments and meet other financial obligations.
Monitor cash flow: It is important to monitor cash flow in order to ensure that the business or organization has sufficient funds to make debt payments. This may involve tracking income and expenses, forecasting future cash flow, and making adjustments as needed.
Communicate with the lender: If the business or organization is having difficulty making debt payments, it is important to communicate with the lender as soon as possible. Lenders may be willing to work with the business or organization to modify the terms of the loan or provide additional support.
Seek advice: Seeking advice from financial advisors or other industry experts can be a valuable way to manage debt effectively. These professionals can provide guidance on financial planning, debt management, and other financial considerations.
Managing equity: Tips for managing equity and maintaining good relationships with equity investors.
Here are some tips for managing equity and maintaining good relationships with equity investors:
Understand the terms of the equity investment: It is important to carefully review and understand the terms of the equity investment, including the rights and obligations of the business or organization and the equity investors. This will help to ensure that the business or organization is prepared to meet its financial and other obligations.
Communicate with equity investors: Maintaining good communication with equity investors is important for managing equity effectively. This may involve providing regular updates on the financial performance of the business or organization, as well as seeking input and guidance from the investors on key business decisions.
Follow the terms of the equity agreement: It is important to follow the terms of the equity agreement in order to maintain good relationships with equity investors. This may include providing regular financial reports, maintaining accurate and up-to-date financial records, and seeking the approval of equity investors for certain actions or decisions.
Seek advice: Seeking advice from legal counsel or other industry experts can be a valuable way to manage equity effectively. These professionals can provide guidance on the terms of the equity agreement, as well as help to resolve any disputes or issues that may arise.
Consider the long-term impact of equity investment: It is important to consider the long-term impact of equity investment on the business or organization. This may include evaluating the potential dilution of ownership or control, as well as the potential exit strategy for the equity investors.
Conclusion
In conclusion, funding is an important consideration for businesses and organizations, as it can provide the financial resources needed to achieve goals and grow. There are many different types of funding available, including debt, equity, and grants, and it is important to carefully research and compare the terms and conditions of different funding options in order to find the most suitable option. Applying for funding requires preparation, including the development of a business plan and the gathering of supporting documents, and it is important to be prepared for due diligence and negotiations with funding sources. Once funding is secured, it is important to manage the funding effectively in order to achieve the desired outcomes, including tracking and reporting on the use of funding, repaying debt, and maintaining good relationships with equity investors. Seeking advice from financial advisors, lawyers, and other industry experts can be a valuable way to navigate the funding process and ensure the success of the business or organization.
Recap of the importance of funding for businesses and organizations
Funding is an important consideration for businesses and organizations, as it can provide the financial resources needed to achieve goals and grow. There are many different types of funding available, including debt, equity, and grants, and it is important to carefully research and compare the terms and conditions of different funding options in order to find the most suitable option. Once funding is secured, it is important to manage the funding effectively in order to achieve the desired outcomes, including tracking and reporting on the use of funding, repaying debt, and maintaining good relationships with equity investors. Funding can be a complex and competitive process, but with careful research, preparation, and management, it can provide the financial support needed to help businesses and organizations thrive.
Encouragement to carefully research and consider different funding options and to manage funding responsibly.
It is important for businesses and organizations to carefully research and consider different funding options in order to find the most suitable option for their needs. This may involve comparing the terms and conditions of different types of funding, such as debt, equity, and grants, in order to find the option that is most favorable for the business or organization. Once funding is secured, it is important to manage the funding responsibly in order to achieve the desired outcomes and ensure the success of the business or organization. This may involve tracking and reporting on the use of funding, repaying debt, and maintaining good relationships with equity investors. Seeking advice from financial advisors, lawyers, and other industry experts can be a valuable way to navigate the funding process and ensure that the funding is used effectively and responsibly.