“Multinationals have financing lines insured outside the country, but the preference of entrepreneurs is to finance themselves from the bank, starting from the premise that the cost of financing will be lower. Local commercial banks are the traditional source of funding. There are, indeed, investment funds with a local presence, which are active on the local market and offer financing. There are also funds that do not have a local presence, but that are looking with interest at opportunities where they can place money. In general, entrepreneurs are naturally focused on the costs associated with financing. Costs seem to be the central problem, most often mentioned by entrepreneurs, because they have to be included in their financial projections. I would add a few more elements that must be taken into account by both potential bank financiers and entrepreneurs. We found that commercial banks have a financing limit, which is given by their own capital and, then, they are conditioned to finance up to a certain level. In my experience, the highest value that can be given by a local bank, on average, is 30-50 million euros. Entrepreneurs, on the other hand, have gone to an area where they need larger volumes of financing that can no longer be managed by a single financing channel. The funding limit is therefore an aspect to be taken into account. At the same time, the degree of documentary, economic and legal training is very important. The entrepreneur focuses on his need for business development and, subsidiarily, on the financing method.”

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