The Funding Gap

The funding gap refers to the difference between the financial resources organizations need to effectively operate or complete specific projects and the amount of funding they currently have or can secure. It highlights a shortfall that can hinder growth, innovation, or service delivery. For example, if a startup needs $1 million to develop its product but only has access to $600,000, the $400,000 difference is the funding gap. Addressing this gap involves seeking additional investments, grants, or revenue streams to meet the necessary financial requirements.