Market Insights Financial Capital Raising

Traditional Capital Raising - Belgium

Belgium

The Total Capital Raised in the Traditional Capital Raising market market in Belgium is forecasted to reach US$369.10m in 2024.
Venture Capital leads the market with a projected market volume of US$304.50m in 2024.
When compared globally, the majority of Capital Raised is expected to be generated the United States (US$159,000.0m in 2024).
Belgium's capital raising market is experiencing a resurgence in traditional methods, with a focus on local investors and established networks.

Key regions: Israel, Brazil, United States, Europe, United Kingdom

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Analyst Opinion

Belgium, a country known for its rich history and vibrant culture, is also experiencing significant developments in its Traditional Capital Raising market. Customer preferences in Belgium have been shifting towards more traditional forms of capital raising, such as bank loans and private placements.

This can be attributed to the stability and reliability that these methods offer. Many Belgian businesses prefer the security of working with established financial institutions and investors, rather than exploring riskier alternatives. Additionally, the low interest rates in the country have made borrowing from banks an attractive option for businesses looking to raise capital.

Trends in the market show an increase in the number of businesses opting for private placements. This can be attributed to the flexibility and customization that private placements offer. By raising capital through private placements, businesses can negotiate terms that are tailored to their specific needs and goals.

This trend is particularly prominent in the technology and healthcare sectors, where companies often require significant investments to fund research and development projects. Another trend in the market is the growing popularity of crowdfunding as a capital raising method. Crowdfunding platforms have gained traction in Belgium, providing a new avenue for entrepreneurs and small businesses to raise capital.

This trend is driven by the increasing digitalization of the economy and the ease of access to a large pool of potential investors. Crowdfunding allows businesses to tap into a wider network of individuals who are willing to invest smaller amounts, making it an attractive option for startups and innovative projects. Local special circumstances in Belgium also contribute to the development of the Traditional Capital Raising market.

The country has a strong entrepreneurial culture, with a high number of startups and small businesses. This creates a favorable environment for capital raising activities, as there is a constant demand for funding. Additionally, Belgium has a well-established financial sector, with a large number of banks and financial institutions operating in the country.

This provides businesses with a wide range of options when it comes to choosing a capital raising method. Underlying macroeconomic factors also play a role in the development of the Traditional Capital Raising market in Belgium. The country has a stable economy and a favorable business environment, which attracts both domestic and international investors.

The government has implemented policies to encourage entrepreneurship and innovation, further supporting the growth of the capital raising market. Additionally, Belgium's strategic location in Europe makes it an attractive destination for businesses looking to expand their operations and access the wider European market. In conclusion, the Traditional Capital Raising market in Belgium is experiencing significant developments driven by customer preferences, market trends, local special circumstances, and underlying macroeconomic factors.

The shift towards more traditional forms of capital raising, the rise of private placements and crowdfunding, the entrepreneurial culture, and the stable economy all contribute to the growth and evolution of the market.

Methodology

Data coverage:

Data encompasses B2B and B2C enterprises. Figures are based on the amount of capital raised, the average 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), and 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. The scenario analysis is based on a Monte Carlo simulation approach generating a range of possible outcomes by creating random variations in forecasted data points, based on assumptions about potential fluctuations in future values. By running numerous simulated scenarios, the model provides an estimated distribution of results, allowing for an analysis of likely ranges and confidence intervals around the forecast.

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.