Capital Raising - Iceland | Statista Market Forecast

The country of Iceland is expected to see the Total Capital Raised in the Capital Raising market market reach US$2.25bn by 2024.
Traditional Capital Raising is set to dominate the market with a projected market volume of US$2.24bn in 2024.
When compared globally, the United States is anticipated to generate the most Capital Raised, amounting to US$195.4bn in 2024.
The trend in Iceland's Capital Raising market shows a growing interest in alternative investment opportunities like venture capital and private equity.

Definition:

The Capital Raising market refers to the process of raising additional capital to launch, finance, and grow a business or a project. Traditional Bank Loans are not considered in the market.

Structure:

The market consists of two segments:
- The Traditional Capital Raising market refers to traditional venture financial services for startups and emerging companies that do not yet possess a positive track record, but have exceptional growth potential.
- The Digital Capital Raising market refers to digital financial services for business customers and private borrowers.
The market data comprises of the amount of capital raised, number of deals, and average deal size.

Additional information:

Besides Traditional Bank Loans, there are various alternative forms of debt and equity financing that help businesses, especially startups and emerging companies who seek additional funds to support their business' operation and growth. Nowadays, owing to the rapid growth rate of startups and emerging companies, these financial services are more attractive and popular.
Key players in this market are companies such as Squoia Capital, Hercules Capital, and Indiegogo

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Venture Capital
Venture Debt
Digital Capital Raising

Traditional Bank Loans

The Capital Raising market in Iceland has been experiencing significant growth and development in recent years. Customer preferences, trends in the market, local special circumstances, and underlying macroeconomic factors have all contributed to this positive trend.

Customer preferences in the Capital Raising market in Iceland have shifted towards more diverse and innovative investment opportunities. Investors are increasingly looking for alternative ways to grow their capital, beyond traditional investment vehicles such as stocks and bonds. This shift in customer preferences has led to the rise of crowdfunding platforms and peer-to-peer lending, which provide individuals and businesses with new avenues for raising capital.

Additionally, investors are showing a growing interest in sustainable and socially responsible investments, which has further fueled the development of the Capital Raising market in Iceland. Trends in the market indicate a growing demand for capital among Icelandic businesses. As the economy continues to recover from the financial crisis, businesses are seeking funding to expand their operations, invest in new technologies, and seize growth opportunities.

This has led to an increase in the number of Initial Public Offerings (IPOs) and private placements, as companies look to raise capital from both domestic and international investors. Furthermore, the emergence of fintech companies in Iceland has disrupted the traditional banking sector, providing more accessible and efficient capital raising solutions for businesses of all sizes. Local special circumstances have also played a role in the development of the Capital Raising market in Iceland.

The small size of the Icelandic market and limited domestic investment opportunities have pushed businesses to explore international capital markets. This has resulted in an increase in cross-border capital raising activities, with Icelandic companies listing on foreign stock exchanges and attracting foreign investors. Additionally, the government has implemented policies and initiatives to support entrepreneurship and innovation, creating a favorable environment for capital raising activities.

Underlying macroeconomic factors have further contributed to the growth of the Capital Raising market in Iceland. The country's strong economic performance, low unemployment rate, and stable political environment have attracted both domestic and foreign investors. Iceland's reputation as a hub for renewable energy and sustainable technologies has also attracted investment in the green finance sector.

Furthermore, the low interest rate environment and ample liquidity in global markets have made it easier for businesses to access capital at favorable terms. In conclusion, the Capital Raising market in Iceland is experiencing significant growth and development due to shifting customer preferences, trends in the market, local special circumstances, and underlying macroeconomic factors. The demand for diverse and innovative investment opportunities, the need for capital among Icelandic businesses, the favorable local environment, and the country's strong macroeconomic fundamentals have all contributed to the positive trend in the market.

Data coverage:

Data encompasses B2B and B2C enterprises. Figures are based on the amount of capital raised, the average of deal size and the number of deals.

Modeling approach / Market size:

Market sizes are determined through a combined top-down and bottom-up approach, building on a specific rationale for each market segment. As a basis for evaluating markets, we use data from OECD, annual financial reports of key players, industry reports, third-party reports, publicly available databases, and survey results from primary research (e.g., the Statista Global Consumer Survey). In addition, we use relevant key market indicators and data from country-specific associations, such as GDP, CPI, number of small and medium-sized enterprises (SME), new businesses registered (number) . This data helps us estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the relevant market. For example, the S-curve function and exponential trend smoothing are well suited for forecasting digital products and services due to the non-linear growth of technology adoption.

Additional notes:

The market is updated twice a year in case market dynamics change. The impact of the COVID-19 pandemic and the Russia-Ukraine war is considered at a country-specific level.

This report presents a comprehensive analysis and additional information on the Financial market, in a PDF format.

Venture capital is the term used to call the financial resources provided by investors to startup firms and small businesses that show potential for long-term growth. It has become a very important source of capital for entrepreneurs, who often have problems with financing their needs through risk-averse banks. Venture capital investments incorporate a high level of risk as only some of the VC-backed companies develop into successful and highly profitable businesses. In 2020, the leading venture capital backed company worldwide was the Manbang Group, which based in Nanjing, China.