Journal of Advances in Developmental Research

E-ISSN: 0976-4844     Impact Factor: 9.71

A Widely Indexed Open Access Peer Reviewed Multidisciplinary Bi-monthly Scholarly International Journal

Call for Paper Volume 16 Issue 1 January-June 2025 Submit your research before last 3 days of June to publish your research paper in the issue of January-June.

Entrepreneurial Finance: Bridging Innovation and Capital for Sustainable Growth

Author(s) Dr. Sushma Karnati
Country India
Abstract This paper explores the vital role of entrepreneurial finance in fostering innovation, while addressing the challenges entrepreneurs face in securing financial resources. It examines the various funding options available to startups and small businesses, proposes strategies to improve access to entrepreneurial finance, and evaluates the impact of financial decisions on venture sustainability. Entrepreneurial finance serves as a key enabler of innovation, providing necessary resources for startups to develop and scale new ideas, especially in resource-constrained environments. Financial instruments such as venture capital and angel investments play a critical role in supporting high-risk ventures that would otherwise struggle to secure funding. However, entrepreneurs often encounter barriers such as limited access to capital markets, stringent lending criteria, and the high perceived risk of startups. The paper identifies geographic disparities and financial literacy as additional challenges faced by entrepreneurs in accessing funding.
It further explores various funding options, including traditional bank loans, equity-based funding (venture capital and angel investments), crowdfunding, peer-to-peer lending, and government grants. Each funding option presents trade-offs related to cost, control, and scalability.
The analysis also highlights the significant impact of financial decisions on the long-term sustainability of ventures. Effective financial planning and prudent decision-making are essential for maintaining operational stability and achieving growth. Entrepreneurs must balance risk and control while aligning financial decisions with their growth objectives. The paper concludes by emphasizing the importance of collaborative efforts among policymakers, investors, and educators to build a robust entrepreneurial ecosystem that fosters innovation, inclusivity, and sustainability.
Field Business Administration
Published In Volume 16, Issue 1, January-June 2025
Published On 2025-01-04
Cite This Entrepreneurial Finance: Bridging Innovation and Capital for Sustainable Growth - Dr. Sushma Karnati - IJAIDR Volume 16, Issue 1, January-June 2025.

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