Check out Crefovi's webinar on "Tools & tips to fund your fashion business and retain control over it". This presentation was made by Annabelle Gauberti, founding partner of Crefovi and president of ialci, in London in February 2014.

1. Fashion finance law:
tools & tips to get funding
while retaining control over
your fashion business
30 July 2013

2. Key issue for SMEs: managing working capital requirements
• 53% starting with less than 2,000 euros
• 49% relying solely on their personal financial funds
• 15% take a bank loan
• 5% receive grants and subsidies
Fashion finance law: tools & tips to get funding while retaining control over your fashion business
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3. SME development & funding instruments
Public stock markets
Formal venture capital funds
Bank loans & guarantees
Seed/early stage VC funds
Business angels
Entrepreneurs, friends, family
Pre-seed phase
Seed phase
Start-up phase
Emerging growth
Expansion
Valley of death
Higher risk
çnnnnnnnnnnnnnnnnnnnnnnnnnnnnnnnnnnnnnnnnnnnè
Fashion finance law: tools & tips to get funding while retaining control over your fashion business
Lower risk
3

4. Funding sources @ pre-seed & seed stage
Fashion finance law: tools & tips to get funding while retaining control over your fashion business
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5. Seed & pre-seed stage: love money (aka family, friends & fools!)
Savings
Personal loans
Donations / gifts
Equity?
Fashion finance law: tools & tips to get funding while retaining control over your fashion business
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6. Seed & pre-seed stage: grants & support schemes
BFC’s
NEWGEN
Apply!
Creative
Industry
Finance
Grants/
support
Fashion
Fringe
UK creative industries:
over talented, under resourced
UK startup loan
scheme
Fashion finance law: tools & tips to get funding while retaining control over your fashion business
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7. Seed & pre-seed stage: crowdfunding
Proof of concept?
Have you protected your IP?
AudaCity of fashion
Wowcracy
Fashion finance law: tools & tips to get funding while retaining control over your fashion business
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8. Funding sources @ start-up stage
Fashion finance law: tools & tips to get funding while retaining control over your fashion business
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9. Start-up stage: business angels
UK angel investment
No. of deals
£m
20
90
80
70
15
60
50
10
40
30
5
20
10
0
0
2000-01 2001-02
2002-03 2003-04 2004-05 2005-06 2006-07
2007-08 2008-09 2009-10
Fashion finance law: tools & tips to get funding while retaining control over your fashion business
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10. Start-up stage: how to convince business angels that your
fashion business is a success worth backing?
Intellectual
Property
Proof of concept?
Projected
cash flow/
earnings
Distribution
& points of
sale
Business
Plan
Be prepared & professional
Business
partnerships
Supply chain
Fashion finance law: tools & tips to get funding while retaining control over your fashion business
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11. Start-up stage: providing working capital against invoices
Purchase
order
financing
Invoice
finance
Factoring
Invoice
discounting
Fashion finance law: tools & tips to get funding while retaining control over your fashion business
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12. Start-up stage: UKFT’s tradeshow access programme
• Grants covering half the cost of a stand
• Promotion of British brands at grant supported shows
• Key shows in Paris, Berlin, Florence, NY & Hong Kong
Fashion finance law: tools & tips to get funding while retaining control over your fashion business
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13. Funding sources @ emerging growth stage
Fashion finance law: tools & tips to get funding while retaining control over your fashion business
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14. Emerging growth stage: bank finance
Global bank lending conditions (G20 countries)
%
US$b
6000
12
4000
8
2000
4
0
0
2005
2006
2007
2008
2009
2010
2011
Fashion finance law: tools & tips to get funding while retaining control over your fashion business
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15. Emerging growth stage: credit guarantee schemes
• Underwriting the risk of lending to fashion SMEs
• Enterprise Finance Guarantee in the UK
• When will we have a UK “fashion bank”?!!
Fashion finance law: tools & tips to get funding while retaining control over your fashion business
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16. Emerging growth stage: Venture capital
VC firms
Corporate venturing
Passport system for European VC funds?
Fashion finance law: tools & tips to get funding while retaining control over your fashion business
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17. What’s next after obtaining funding for your fashion business?
Keep in touch
with financial
stakeholders
Develop a
thriving
business
Next move?
Fashion finance law: tools & tips to get funding while retaining control over your fashion business
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18. Funding sources @ expansion stage
Fashion finance law: tools & tips to get funding while retaining control over your fashion business
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19. Expansion stage: available financial options
Private equity
IPO
Capital markets
Fashion finance law: tools & tips to get funding while retaining control over your fashion business
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20. Conclusion
Fashion finance law: tools & tips to get funding while retaining control over your fashion business
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21. Fashion finance law: tools & tips to get funding while retaining
control over your fashion business
Annabelle Gauberti
Founding partner
annabelle.gauberti@crefovi.com
Fashion finance law: tools & tips to get funding while retaining control over your fashion business
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