5 Sources for funding your startup

sources for funding your startup

Are you an owner of a start-up? Looking for expanding your business? Lacking funds? Well, worry no more. We bring you a list as the answer to all the above questions. Here are a few sources from where you can you can procure funding for your business-


Bootstrapping also known as self-financing is the most traditional way of arranging funds. While devising a plan for starting the business enterprise; an entrepreneur must essentially keep some amount saved personally. The amount saved from a personal collection is a boon for expanding the business. The amount collected by cutting your luxuries fuels the vehicle of your dream. This best part about this kind of financing is that one is not accountable to any third party and there exist no hustle-bustle of interest or installments.

Business angels

These are the gold players in the markets. They are into the business of financing the budding start-ups. Many business heads individually or in the group come together and pool their resources for growing the small and medium business enterprises. As the name suggests they are rightly the angel guidance for the new businesses ideas that appeal to them. They demand a share in the business capital in exchange for the money they put. The minority ownership equity or convertible debt shares are usually the clauses for their financing. You can try visiting Indian angel network 


This has recently become the entrepreneurs’ favorite. Crowdfunding means collecting a small amount of money from a large number of individuals. This method focusses that the quantity of people investing in the venture is more through the quantity collected from them is less.. The amount risk for an investor is less as the involvement of money is less which attracts the investors. Under this method, the start-ups can avail the finance via different means like pre-orders, contribution from one or more than one person simultaneously. The social media and various crowdfunding websites is a good way of targeting the investors. Here are top 10 crowdfunding platforms 


Various banks and other public financial institutions provide assistance to young entrepreneurs for starting and supporting their journey of the entrepreneurship. Many kinds of loan schemes for providing financial help prevail in the market. The basis of the schemes is on the innovation of the entity, the term period of the loan, the collateral security deposited and the size of the business model. The business house has to pay the installments on the pre-decided time interval. The various popular kinds of loan options at a glance can be the following for-

  •  Purchasing the assets
  •  Managing the working capital requirements
  •  Research and development purposes

Factoring account receivables

Under this method, the services of a factoring entity are availed by the start-up. The factoring entity provides a facility for funding the accounts receivables till the point they are actually settled. So, the enterprise can sell his goods on credit and the factoring entity shall take care of the payment charging some premium. The service receiver has an option to opt for factoring services on the recourse basis or on a non-recourse basis. Many factoring agencies provide a feature of securing even the bad debts. After giving the headache of receivables to another enterprise, all the entity needs to worry about is managing the daily working needs. You can have a look at best factoring agencies.

As they say, money attracts money…

Hope this helps… Make money!


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