Market Insights Financial Capital Raising

Traditional Capital Raising - Benelux

Benelux

The country in Benelux is expected to see a Total Capital Raised in the Traditional Capital Raising market market reaching US$2.29bn in 2024.
Within this market, Venture Capital is set to dominate with a projected market volume of US$1.77bn in 2024.
When compared globally, the United States is anticipated to generate the most Capital Raised, amounting to US$159,000.0m in 2024.
In Benelux, the Traditional Capital Raising market is seeing a resurgence in interest from family-owned businesses looking to expand.

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

Market

Region

Region comparison

Currency

Analyst Opinion

The Traditional Capital Raising market in Benelux has been experiencing significant developments and trends in recent years.

Customer preferences: In the Benelux region, there is a growing preference among businesses to raise capital through traditional methods such as bank loans, private placements, and public offerings. This is driven by the trust and familiarity that businesses have with these traditional capital raising methods. Additionally, businesses in Benelux value the stability and reliability that comes with traditional capital raising, as it allows them to maintain control over their operations and decision-making processes.

Trends in the market: One notable trend in the Benelux Traditional Capital Raising market is the increasing popularity of private placements. This method allows businesses to raise capital from a select group of investors, often including high-net-worth individuals and institutional investors. Private placements offer a more tailored approach to capital raising, as businesses can negotiate terms and conditions directly with investors. This trend is driven by the desire for businesses to have more control over their funding process and to attract investors who align with their long-term strategic goals. Another trend in the Benelux market is the rise of crowdfunding as a capital raising method. Crowdfunding platforms have gained traction in recent years, allowing businesses to raise funds from a large number of individuals who are interested in supporting innovative projects or startups. This trend is driven by the increasing popularity of socially responsible investing and the desire for individuals to support local businesses and initiatives. Crowdfunding offers businesses a new avenue for capital raising, particularly for those with limited access to traditional funding sources.

Local special circumstances: The Benelux region is known for its strong and stable financial sector, with well-established banks and financial institutions. This provides businesses with a wide range of options when it comes to traditional capital raising. Additionally, the region has a favorable regulatory environment that supports traditional capital raising methods, providing businesses with the necessary legal framework and investor protection.

Underlying macroeconomic factors: The Benelux region has a robust economy, with strong GDP growth and low unemployment rates. This creates a favorable environment for businesses to raise capital, as investors are more willing to invest in companies that are operating in a stable and growing economy. Additionally, the region has a highly skilled workforce and a supportive business environment, which attracts both domestic and international investors. In conclusion, the Traditional Capital Raising market in Benelux is developing in response to customer preferences for stability, control, and familiarity. Businesses in the region are increasingly opting for traditional capital raising methods such as private placements and crowdfunding, while benefiting from the strong and stable financial sector and favorable regulatory environment. The underlying macroeconomic factors, such as strong GDP growth and a skilled workforce, further contribute to the development of the market in Benelux.

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.