Tighter capital market
Our latest business pulse report shows that companies are finding it harder to secure the funding they need to scale up.
Surveys show that capital is still available for the strongest projects, but securing funding for the next tier has become noticeably more difficult. Larger investments of between NOK 10 million and NOK 50 million are becoming harder to secure. The tight capital market is also affecting promising companies that have passed the EU's rigorous selection process and received the 'Seal of Excellence'. Fewer than one in three Seal of Excellence companies that have tried to raise capital to fund their projects have succeeded.
The shortage of capital is partly due to high interest rates and uncertainty about the economic outlook.
Startups are valued lower than they were just a short time ago, and both founders and investors are more cautious about funding decisions.