Capital Seekers are people or organisations that seek to obtain more money beyond their current finances. However, it is important to note that capital seekers often face different challenges, problems and motivations and the need for additional funding varies from business to business.
Capital is required by people from all walks of life for various reasons. Capital seekers may include individuals such as entrepreneurs to working professionals. Companies ranging from startups as well as established corporations may also find themselves in situations that would require additional capital. In addition, non-profit organization are also included as capital seekers given that they would need capital to continue the day-to-day running of the organisation[DY1] .
The advancement in technology has given rise to a special breed of business owners called technopreneurs. These individuals are often the business owners of tech startups as their business idea revolves around technology.
Capital seekers can come from virtually any industry. Just to name a few, capital seekers may be found in industries where the nature of the business is capital intensive[DY2] such as software development, manufacturing, etc. From the business’ perspective, companies usually go through various stages in its business life cycle, namely the seed, startup, growth, expansion and maturity stage. Throughout these different stages, businesses often face varying concerns that may require them to seek additional injection of capital. For example, during the startup stage, businesses or entrepreneurs may find themselves unable to fund their business operations and building of business facilities alone. Other capital seekers can also come from industries where it is traditionally difficult to receive funding in, such as arts, design and music. Furthermore, for the tech industry where large amount of capital are needed during the initial stages of the business, it is common for technopreneurs to acquire funding during the start-up stage which is then followed by a series of financing rounds called the series A, B and C funding rounds.
Capital is required for a variety of purposes or motivations. For entrepreneurs and businesses, it may include starting up the business, spurring business growth through marketing, research and development, and/or the opening of new stores. In times where business cycles result in tight cash-flow, businesses may also need loans to stay afloat before profit cyclically returns.