Shrnutí: In 2026, you can obtain the funds needed to start a business from your own savings, from family, through a business loan, government grants, crowdfunding, or from an investor. Each option comes with different costs and risks: while a loan requires you to make repayments, an investor typically receives a stake or other form of compensation, and certain types of government aid require you to meet specific conditions.
Having a good business idea is just the beginning. Turning it into a viable business is much harder, and the first obstacle on this path is usually money. A lack of funds can be one of the main reasons why many people never even start a business, or why they give up within the first few months of launching it. Not everyone has enough personal savings, and a new entrepreneur usually doesn’t have a credit history to present to a bank. That’s why it pays to explore more financing options and not rely solely on a traditional loan.
Are you planning to finance your business with money from family, an investor, or a business partner? Before accepting the funds, it’s important to properly draft the contract and establish the terms for repayment or the investor’s entry into the company. Have our lawyers draft or review the contract for you.
If you’re one of the lucky ones who built up some financial reserves before starting your business, then you undoubtedly have a major advantage. Your own savings are, in every respect, the safest way to finance your business. You don’t have to repay anyone, you don’t pay anything extra in interest, and you remain 100% in control of your business.
Perhaps the best approach for you would be to remain a full-time employee for a few more years and set some money aside. You might even manage to save as much as 250,000 crowns in five years. That’s an amount that could help you, for example, open your own flower shop, purchase basic equipment and necessary inventory, or cover the first few months of rent for commercial space. Thanks to this, you won’t have to deal with a loan for new entrepreneurs or look for an investor. Plus, you’ll be able to set everything up exactly the way you want.
Do you have a question on your mind that you need a lawyer to answer, but you don’t know who to turn to? Take advantage of our online legal advice service, which will provide you with an answer within 48 hours.
If your own savings aren’t enough, help from family or friends often comes into play. After all, it’s usually easy to get money from loved ones fairly quickly and without unnecessary formalities. However, it is precisely this informality that can hide a potential problem. If you don’t draw up a solid contract with the person lending you money—one that protects both parties—misunderstandings can easily arise.
At our law firm, we’ve handled more than a few disputes stemming precisely from financial matters and poorly drafted contracts. If you want to launch your business without complications and don’t want to take out a business loan from a financial institution, we strongly recommend setting out the terms in a written loan agreement. It should specify, above all, the amount borrowed, the method and deadline for repayment, any interest, and the procedure in the event of a delay. The specific rules governing loans are set forth in the Civil Code, and we’d be happy to help you draft it.
Both (non-)banking institutions can provide loans for aspiring entrepreneurs. Business loans for beginners tend to be more difficult to obtain precisely because the bank cannot yet assess the results of your previous business ventures. A bank loan is therefore the more complicated route, but it offers more favorable terms. Most banks offer business loans to new entrepreneurs, but banks naturally protect themselves and want to minimize risks; this is one reason why, when granting a loan to a new entrepreneur, they require, for example, the submission of a thoroughly prepared business plan. In some cases, you’ll also need to provide your own down payment, arrange collateral for the loan, and sometimes even have a guarantor.
We know of cases where a bank rejected a loan application from a new entrepreneur who wanted to open a health food café. This was because she had no business history for the bank to rely on. However, once she revised her business plan, added a reference from her previous employer, and offered her parents’ property as collateral, the bank viewed her differently and ultimately granted her a startup loan of half a million crowns.
Nonbank loans offer afaster alternative. There are many nonbank lenders operating in our market, and approval criteria vary by company and product, though they may be less stringent than those of banks. Non-bank lenders may have different criteria than banks when evaluating applications; sometimes they require fewer documents and do not demand a precise statement of the purpose for which you intend to use the funds. However, this also depends on the specific provider and the type of loan. This makes it all the more important to compare the total costs, interest rates, fees, penalties, and required collateral. Money that’s available quickly can be significantly more expensive than a standard bank loan.
Tip: Whether you’re borrowing money for a car, home furnishings, a vacation, or a washing machine repair—in all these cases, you can get the money you need through a consumer loan. But there may be a catch. What is it? You’ll find out in our article.
The Czech government supports small and medium-sized businesses through various programs implemented by the National Development Bank (NRB). The primary goal of this government support is to give people the opportunity to secure financing for their projects, which , while promising, are considered too risky by commercial banks. This is because start-up entrepreneurs have no creditworthiness, no track record, and often no collateral.
If a new entrepreneur cannot obtain a loan from a bank because they lack sufficient collateral, the NRB can provide a guarantee for that loan. Under the current National Guarantee program, the guarantee can cover up to 70% of the loan principal, with the guaranteed loan amount ranging from 500,000 to 20 million crowns.
The NRB also offers preferential loan programs; however, these are generally intended for specific purposes or for certain groups of entrepreneurs. Therefore, it is always necessary to verify the terms of the currently available program.
If you are registered as a job seeker, you may, under certain conditions, apply to the Labor Office for a grant to establish a socially beneficial workplace for self-employment. The funds are primarily intended for necessary workplace equipment, and the application must include, among other things, a business plan.
There is no legal entitlement to this grant, and its approval is assessed by the relevant regional branch of the Labor Office. Furthermore, you may not start your business before the grant is approved and an agreement is signed. The conditions are based on the Employment Act.
An investor makes the most sense when a one-time payment for equipment is not enough, and the company needs capital for faster growth. This is particularly common with startups. Unlike a loan, this is usually not money that you would repay on a regular basis—instead, an investor typically requires a stake in the company, a share of future profits, or some other pre-agreed consideration.
You can look for investors through business incubators and accelerators, investor networks, or directly among so-called “business angels” and venture capital funds. To convince an investor, first and foremost prepare a high-quality business plan, a financial model, a description of the project’s competitive advantages, and an explanation of how you will use the invested funds.
However, before an investor comes on board, clearly define their rights and obligations, the size of their equity stake, decision-making within the company, and the terms for a potential exit. An unclear agreement between the founders and the investor can significantly complicate the company’s operations later on.
In the Czech Republic, a startup generally has the same basic sources of financing as other new businesses, but it often needs more capital and anticipates faster growth. In addition to the founders’ own funds, the main options include “business angels,” venture capital funds, crowdfunding, bank financing, public grants, or a combination of several sources.
When making a choice, it’s not just the availability of funds that matters. With a loan, consider your ability to repay; with an investor, consider the value of the equity stake you’re giving up; and with a grant or public program, also consider the conditions under which you can use the funds.
Crowdfunding works by having a large number of people finance a project through an online platform. You’ve surely heard of portals like Hithit or Donio. On these platforms, you can present your project to the general public. You set a financial goal—that is, how much money you want to raise—and offer contributors a reward in exchange for a certain amount they donate. This way, you don’t have to take out a business loan, and you still have a chance to secure the funds you need. The terms vary depending on the specific platform. Some, for example, operate on an “all-or-nothing” basis, meaning you’ll only receive the funds if you reach your set financial goal.
Sometimes, a budding entrepreneur needs only a small financial injection—perhaps just tens to hundreds of thousands. If banks are unwilling to lend to them due to insufficient credit history or a lack of collateral, they can turn to alternative forms of financing, such as P2P (peer-to-peer) loans. With P2P, you don’t borrow from a bank, but from various small investors who, through an online platform, offer their money to others who need it at that moment.
Among the best-known P2P platforms are Zonky and Bankerat. All you need to do is register, submit your business plan, specify the amount needed and how it will be used, and provide a repayment schedule. The platform verifies the information and then displays the request to investors. The investors then decide for themselves whether to grant the loan to the applicant to start their business.
However, the terms and conditions of individual online platforms vary and may change over time. Therefore, before agreeing to a loan, always verify who is providing the financing, what the total costs are, what the repayment terms are, and whether the service is subject to supervision by the Czech National Bank.
Tip: Are you thinking about taking out a mortgage? If so, you should know that there is such a thing as a mortgage in the name of just one spouse. Find out if this option is right for you and what requirements you must meet to qualify for a mortgage in the name of just one spouse.
Where to get money to start a business depends mainly on how much you need, what you’ll use the money for, and whether you’re willing to take on debt or bring in an investor. Your own savings pose the least risk; assistance from family should be formalized with a loan agreement; and a business loan for beginners typically requires a solid business plan and an assessment of your ability to repay the loan. Other options include guarantees and preferential programs from the National Bank of the Czech Republic (NRB), a grant from the Labor Office for selected self-employed beginners, crowdfunding, or an investor. For each financing method, compare not only how much money you’ll receive, but also the cost, legal terms, and what you’re giving up in exchange for the funding. Getting a business loan can be a challenge, but it’s not impossible. Good preparation is the foundation for success. Always write a realistic business plan, carefully consider the amount of investment, and assess your repayment options.
It depends on the specific bank and product. Some loans can be arranged even while you’re still setting up your business, while other lenders require a business ID number or a certain business history.
Yes, but the options tend to be more limited. The bank, the investor, and the provider of public support may require a contribution of their own funds, collateral, or proof that the project has a realistic financial basis.
You can start by reaching out to startup incubators, accelerators, investor networks, startup events, or directly to business angels and venture capital funds. However, without a well-prepared project and financial plan, simply making contact is usually not enough.
Yes, some forms of support are specifically intended for people just starting a business. One example is the grant provided by the Labor Office to job seekers who wish to start their own business. However, there is no legal entitlement to this grant; it depends on the specific assessment made by the relevant regional branch of the Labor Office.
In some cases, yes. However, it is always necessary to check the terms and conditions of a specific grant or subsidy, particularly the rules regarding co-financing and eligible expenses.
First and foremost, the size of the investor’s stake, voting and information rights, decision-making procedures, distribution of profits, the option to sell the stake, and the rules governing an investor’s or founder’s withdrawal from the company.
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Ondřej is the attorney who came up with the idea of providing legal services online. He's been earning his living through legal services for more than 15 years. He especially likes to help clients who may have given up hope in solving their legal issues at work, for example with real estate transfers or copyright licenses.
Ondřej is the attorney who came up with the idea of providing legal services online. He's been earning his living through legal services for more than 15 years. He especially likes to help clients who may have given up hope in solving their legal issues at work, for example with real estate transfers or copyright licenses.
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