There a few options when it comes to startup funding:
1) Bootstrapping your startup business: This basically means that the founders themselves, invest without any help from outside. This is also called self-funding. Most of the times, startups have a hard time getting investments without showing any success or traction, this is the way to go for it.
2) Crowdfunding As A Funding Option: Crowdfunding is one of the newer ways of funding a startup that has been gaining lot of popularity lately. It’s like taking a loan, pre-order, contribution or investments from more than one person at the same time. This is how crowdfunding works – An entrepreneur will put up a detailed description of his business on a crowdfunding platform. He will mention the goals of his business, plans for making a profit, how much funding he needs and for what reasons, etc. and then consumers can read about the business and give money if they like the idea. Those giving money will make online pledges with the promise of pre-buying the product or giving a donation. Anyone can contribute money toward helping a business that they really believe in.The best thing about crowd funding is that it can also generate interest and hence helps in marketing the product alongside financing.
3) Get Angel Investment In Your Startup: Angel investors are individuals with surplus cash and a keen interest to invest in upcoming startups. They also work in groups of networks to collectively screen the proposals before investing. They can also offer mentoring or advice alongside capital.This alternative form of investing generally occurs in a company’s early stages of growth, with investors expecting a upto 30% equity.
4) Get Venture Capital For Your Business: Venture capitals are professionally managed funds who invest in companies that have huge potential. They usually invest in a business against equity and exit when there is an IPO or an acquisition. VCs provide expertise, mentorship and acts as a litmus test of where the organisation is going, evaluating the business from the sustainability and scalability point of view.Venture capitals are professionally managed funds who invest in companies that have huge potential. They usually invest in a business against equity and exit when there is an IPO or an acquisition. VCs provide expertise, mentorship and acts as a litmus test of where the organisation is going, evaluating the business from the sustainability and scalability point of view.
5) Get Funding From Business Incubators & Accelerators
6) Raise Funds By Winning Contests
7) Raise Money Through Bank Loans
8) Get Business Loans From Microfinance Providers or NBFCs
9) Govt Programs That Offer Startup Capital
10) Quick Ways To Raise Money For Your Business
- Product Pre-sale
- Selling Assets
- Credit Cards