Inner City 100: Finance & Banking

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Finance & Banking

By: Inc. Staff

Published May 2006

Start-up Capital:

$746,858 = Average
$50,000 = Median
32% of companies started with $15,000 or less, 11% started with $1 million or more

Top 3 Sources of Start-up Capital:

Growth Capital:

68% of companies reported having raised additional capital since start-up
$6.9 million was the average additional capital raised (median of $1 million)

Top 3 Sources of Growth Capital:

Fundraising Experience:

52% of CEOs reported that capital was relatively easy to obtain
45% reported that limited sources of capital were available, resulting in a lower investment than planned
3% reported that they were unable to obtain sufficient capital, resulting in an inability to grow the business

Buy vs. Lease:

61% of CEOs report leasing their current location, with 45% under a long-term lease and 16% under a short-term lease
22% report that they personally own their company’s location
16% report that the company itself owns the location