Corporate Financing & Capital Raising
The Strategic Guide for the DACH Region

Context & Expectation Management: Why Money Alone Doesn’t Solve the Problem

When liquidity drops, stress levels rise along with the worry that the next investor meeting will once again yield no results. This bitter reality is standard for many founders in Austria, Germany, and Switzerland (DACH region). The search for fresh capital is often underestimated as a mere "pitch deck problem." In fact, many are convinced that simply stringing a few slides together and giving a good presentation at the bank should suffice, but reality looks quite different.

In this guide, you will find the results of our analysis of 179 real investor meetings. You will learn:

• What capital raising really is and why most companies fail at it.
• How corporate finance works in the DACH region and what rules apply here.
• Am I "investor-ready" and what requirements must my company meet?
• How the capital raising process actually works, from preparation to closing.
• Which forms of capital, investors, and financing paths suit my project?

What Does Capital Raising Really Mean for Companies and Why Do Most Fail?

As part of our research, we found that 57% of all conversations get stuck in the so-called Discovery Phase. While two parties have found each other—one wanting to invest and the other wanting to scale—they remain in a state of mutual "feeling out," wasting valuable time and resources. Usually, this is because the founder lacks Investor Readiness—the maturity required for a company to be even auditable by an investor.

Time plays the biggest role here; every hour you put into inefficient DIY fundraising is an hour lost in operations. These processes can swallow months. If sales or product development grind to a halt as a result, it jeopardizes market progress (Traction), which is vital to investors.

"Capital is not a lifebuoy; it is an amplifier." – Lucas Roemer, Founder and CEO of Roemer Capital GmbH

While money can make a functioning model grow faster, failure also arrives faster than expected if structures are lacking and underlying processes are unstable. Therefore, this guide is not about superficial marketing knowledge. We provide insights into the hurdles of corporate finance and show you how to plan and professionally manage your equity and debt structure. By the end, you will understand that capital is a tool for growth, not an emergency solution.

Capital Raising vs. Financing vs. Fundraising: The Fine Distinctions

In the business world, we are used to adopting terms without always fully understanding them. In the world of finance, clear communication is necessary to avoid sending the wrong signals to the market. Financing is the broad umbrella term for everything that brings in money.

This includes:

• Internal Financing: Investments based on your profits and reserves.
• External Financing: Obtaining money from external partners (banks, investors, etc.).

Another term from the startup world is Fundraising, which specifically refers to Venture Capital. However, the term closest to reality is Capital Raising, as it describes the active, professional process of recruiting fresh funds from the outside—regardless of whether it is a loan, equity, or a mixture of both (so-called Mezzanine Capital).

Before diving deeper, it’s worth looking at Fixed Assets. This lever is often overlooked. Fixed assets describe everything that remains in your company long-term, such as machinery, IP, land, or real estate. This carries value that can serve as collateral for a bank. In return, the bank is more willing to grant a loan, though they never lend 100% of the value. Familiarizing yourself with this makes it easier to decide whether you want to sell shares (Equity) or take on debt (Debt Capital) to scale.

"Only 0.05% of German startups actually raise capital." – Lucas Roemer, Roemer Capital

When Capital is a Growth Lever – and When It Isn’t

Having money is one thing; knowing how to handle it is another. Many firms fail because they cannot manage the financing or fail to establish profitable processes in subsequent phases. This makes it all the more important to address necessary processes and structures in advance.

Think of capital as an accelerant. If your business model works (it's "on fire"), money makes everything faster and bigger. However, investors in the DACH region only invest when they see that your processes are scalable—meaning that debt or equity will actually lead to higher returns.

This is where the Financial Storytelling Gap comes in. Investors want security that can be translated into numbers. Many companies have a massive vision but lack the understanding to pour it into a watertight numerical model. A convincing Equity Story—the total package of your business idea and financial narrative—must seamlessly prove why you need exactly "Amount X."

Why Capital Raising in the DACH Region Follows Different Rules: Substance Beats Hype

Mentality & Risk Awareness: Why "Silicon Valley" Doesn't Work Here

Anyone who has done business in the DACH region knows: whether it’s capital raising in Austria, corporate finance in Germany, or seeking debt in Switzerland, every country ticks differently—and all are fundamentally different from the USA. While you read about billion-dollar investments for US startups, the DACH region is much more cautious. Betting here isn't based on a vague vision, but on a business model that has ideally already proven itself or is highly predictable.

In practice, a pitch deck alone is not enough. Investors receive offers daily, but few are detailed enough to even be considered. What counts today are resilient KPIs (Key Performance Indicators)—measurable success metrics that prove your business case works.

Ask yourself:

• What does a customer actually cost me after all fees?
• Am I potentially losing money in the end?

Cash flow also plays a major role. This is the money that actually lands in the account after all expenses and can be reinvested. Those who fail to provide transparency here during the first contact usually fail during Due Diligence (the detailed audit of your company data).

Germany, Austria, Switzerland: Three Countries, Three Worlds

"In Germany, we are sitting on capital. The problem isn't the financing; it's the risk awareness in the DACH region." – Lucas Roemer, Roemer Capital

Each country has a different "DNA" and financing culture:

• Germany: Companies typically seek funding from their local bank. There is also a strong network of subsidy programs. Loan agreements are often tied to "covenants" (contractual targets like profit margins). Banks may also claim security over fixed assets or real estate.
• Austria: A smaller, network-driven market. "Networking" (Vitamin B) in banking or contacts with Family Offices (private wealth managers for wealthy families) are nearly essential.
• Switzerland: Switzerland supports Switzerland. It acts like an exclusive club with high entry barriers. Known for its financial sector, Governance is a priority here. Swiss investors require crystal-clear corporate management and often look for high equity ratios.

The Most Common Stumbling Blocks: Why Capital Raising Often Fails

Valuation Anxiety and Missing Methodology

Don't be afraid of Company Valuation! Our analysis shows that "valuation anxiety" is omnipresent. Founders often have no feel for what their company is actually worth and struggle to take measures to secure liquidity.

Common questions:

• "How do I value my company?"
• "Am I selling it too expensively?"

Often, entrepreneurs lack Multiples—industry-specific comparative figures that relate the company's value to metrics like revenue or EBITDA (earnings before interest, taxes, depreciation, and amortization).

The "DIY Dilemma": Lack of Time and Wrong Priorities

The biggest mistake is trying to handle fundraising as a "Do-it-Yourself" project alongside daily business. A professional financing process is a full-time job and takes at least six months. If you try to do everything yourself, you risk the "multitasking disaster": sales lag, product development stalls, and just when investors want to see maximum growth, your numbers dip.

The Maturity Test: When Your Company is Truly Ready for External Capital

Capital-ready vs. Investor-ready: A Huge Difference

Technically, even a mere idea can get capital. But while "capital-ready" just means the business is profitable enough to pay back a loan, "Investor-ready" means external providers are willing to take on risk to participate in your growth. This requires scalability—the ability for more capital to grow the company disproportionately without costs skyrocketing.

The Checklist: Minimum Requirements for 2026

1. Runway: You must show how the next 12 to 18 months look. A long runway shows stability; a short one signals distress and weakens your negotiation position. 12–18 months is mandatory.
2. Unit Economics & KPIs: You must know your CAC (Customer Acquisition Cost) and LTV (Lifetime Value). A CAC/LTV ratio > 3 is generally expected.
3. Team & Governance: Investors invest in people. You must prove the business can function without the founder.
4. Process Documentation: Everything from sales to invoicing should be documented for Due Diligence.
5. Legal Cleanliness: Contracts, IP rights, and balance sheets must be "clean."

The Fundraising Process in Practice: Success in 4 to 8 Months

Phase 1: Preparation & Your "Equity Story" (Weeks 1-8)

Define your capital strategy and your Equity Story. It’s not about selling the past, but the credibility of the future. Why are you unique? How do you use trends like AI or Decarbonization?

Phase 2: The Financial Model & Valuation Logic

Translate the vision into a dynamic Excel model (P&L, balance sheet, liquidity plan). A smart plan accounts for multiple rounds to prevent Dilution (the watering down of shares).

Phase 3: Materials & Targeted Investor Outreach

Create a "Mini-Deck" (Teaser) and a full "Pitch Deck." Identify the "Investor-Fit" and seek targeted introductions rather than mass-emailing. The goal here is to receive Term Sheets (letters of intent).

Phase 4: Due Diligence & Closing

This is the "Phase of Truth." Investors will verify your:

• Legal DD: Contracts and IP.
• Financial DD: Verifying cash flow and liabilities.
• Tax DD: Correct tax filings.
• Tech DD: Code stability and technical roadmap.

If the DD is successful, contract negotiations follow, ending in the Closing (signing and fund transfer).

Forms of Capital & Investor Types: Who Fits Your Strategy?

1. Business Angels: Experienced individuals investing private wealth (€10k–€250k). They offer "Smart Money" (knowledge and contacts).
2. Family Offices: Patient capital for long-term investments. They prefer stable, medium-sized businesses.
3. Venture Capital (VC): High-risk, high-growth "fuel." They want rapid scaling and an exit in 5–7 years.
4. Private Equity (PE): For established companies with steady cash flow. They often restructure or buy out companies.
5. Debt/Banks: For those who don't want to give up shares. Banks prefer collateral like machinery or real estate.

When Roemer Capital Makes the Decisive Difference

Capital raising is not a side project; it is a strategic discipline. Roemer Capital acts as your Strategic Interim CFO or "SWAT Team" for your financing process.

It makes sense to talk to us if:

• You are in the Scaling Phase and need significant capital.
• You are dealing with complex financing mixes (Equity + Debt + Subsidies).
• You are under high time pressure (M&A deal or sudden growth).

We are not the right partner if:

• You have no growth ambition (just a small bridge loan).
• Your model is not yet validated (no market proof).
• You lack transparency.

If you lead a tech company with scaling potential and see capital raising as a strategic tool for real growth, now is the time for a professional analysis.

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