Did you know North Group has a growing online community to help startups fundraise smarter? Our Skool Community, Start-up Funding Connect, is a space designed specifically for founders who want to scale, learn from peers, and tap into expert support on all things funding.
Challenges Faced by Startups
Fundraising became significantly more challenging in early 2025. Venture capital investment has fallen to its lowest level in five years, and investors are now prioritizing profitability, capital efficiency, and sustainable growth. Startups face intense competition for funding. Having a great idea is no longer enough; founders must demonstrate a clear competitive advantage, strong financial, and a scalable business model. Common challenges include a lack of track record, concerns over equity dilution, and valuation gaps. In addition, many startups struggle with cash flow pressures and increasingly rigorous due diligence requirements.
The Funding Journey: From Bootstrap to Exit
Every startup’s fundraising journey is different, but most follow a similar roadmap. It often begins with bootstrapping or support from friends and family, leading up to a Minimum Viable Product (MVP). Once you have demonstrated traction, angel investors and early-stage venture capitalists may take an interest. At the same time, a variety of government programs, including wage subsidies, research tax credits (SR&ED), and innovation grants (IRAP, Mitacs), can support growth before the company is fully venture-backed. With product-market fit established, startups typically move into larger venture rounds and secure additional capital through growth-stage government loans and grants. The final stages of the journey might include an IPO, acquisition, or a strategic partnership exit.
Where Most Startups Struggle
In our experience, the most challenging stage comes after building an MVP but before securing serious investment. At this point, startups have typically outgrown personal capital yet may not fully meet the criteria required by venture capitalists or major government funding programs. This gap is where many promising ideas stall, often due to a lack of available capital or a clear funding strategy.
Why We Built Skool
We created Skool because we saw too many startups struggling to navigate funding on their own, often wasting time or leaving money on the table. Our Skool community is a free online space for Canadian startups to:
- Learn how to build a comprehensive funding strategy, including grants, SR&ED, and investors
- Connect with other founders at similar stages of growth
- Ask questions and get valuable feedback from experts and mentors
- Stay ahead of funding programs, deadlines, and insider tips
- Get to know the latest events, workshops, and networking opportunities that can help accelerate your growth.
No matter what stage your startup is at, there’s a place for you in Skool. You can grow both your network and your business as you move through the fundraising journey.
Contact us to learn more about how to join our Skool community today.
