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W W W. M A I N E B I Z . B I Z 25 J U N E 2 7 , 2 0 2 2 F O C U S programs, incubator programs and entrepreneurial competitions has increased and is at an all-time high in an effort to stimulate and foster successful startups in Maine." Typical path Obtaining capital typically starts with bootstrapping. at can mean "finding money in the couch, personal savings, grants, borrowing from friends and fam- ily, etc., while simultaneously being as scrappy as possible to explore whether an idea is commercially viable," says Powers. A founder looks for a few interested customers as evidence of "product market fit." at, in turn, can open up additional capital options like early-stage angel capi- tal from investors seeking a minor- ity stake in the business. If capital needs increase beyond what is available from those sources, venture capital can be an option. Venture capital also requires selling a minority stake in the busi- ness, but it comes from an estab- lished fund, like Maine Venture Fund, with professional investors who will partner with founders to help grow the business in a hands- on manner, Powers says. "is all said, most businesses will not seek angel capital or venture capital because retaining 100% ownership of the business S TA R T U P S — F I N D I N G C A P I TA L HELPING YOU BUILD A BUSINESS YOU LOVE We are here for you. From Wicked Fast working capital loans to business advice and policy advocacy, CEI is here to help Maine's small businesses. 207.504.5900 www.ceimaine.org C O N T I N U E D O N F O L L OW I N G PA G E » There have been more investors looking at Maine companies over the years, in addition to more funds establishing themselves in Maine. — Joe Powers Maine Venture Fund ANGEL INVESTMENT Angel investors provide capital to startups or entrepreneurs in return for ownership equity or debt repayment. Maine Angels helps entrepreneurs by investing in and mentoring early-stage businesses. S O U R C E : Maine Small Business Development Centers, Maine Angels MAINE TECHNOLOGY INSTITUTE Maine Technology Institute offers grants, loans, equity invest- ments and services to businesses, organizations and individuals that work within one or more of seven targeted technology sectors: biotechnology, composites and advanced materials, environmental technologies, forest products and agriculture, information technology, marine technology and aquaculture and precision manufacturing. It also helps in building support systems for innovation in Maine. S O U R C E : Maine Technology Institute FINANCE AUTHORITY OF MAINE Finance Authority of Maine provides innovative financial solutions to help Maine citizens pursue business and education opportuni- ties. Programs include direct loan programs, bond programs, and equity capital and tax credits. S O U R C E : Finance Authority of Maine