5 Financing Options for Up & Coming Small Business Owners
                     5 Financing Options for Up & 
Coming Small Business Owners
Aspiring entrepreneurs can run into a 
handful of obstacles when searching 
for financing. Here are the 5 
financing options for up & coming 
small business owners.
Venture Capital Funds
A venture capital fund is when an 
individual or company invests in a new 
business venture, providing capital for 
a startup or expansion. This 
investment is a form of equity 
financing in which an investor supplies 
funding in exchange for taking an 
equity position in the company.
Crowd Funding
Crowdfunding is a great fundraising 
option for startups who want to test 
their product idea and get a market 
insight. Crowdfunding makes use of the 
internet to connect with thousands of 
potential funders –primarily via social 
media, crowdfunding platforms, 
relatives, and work acquaintances.
Angel Investors
An angel investor is an individual who 
provides funds for a business start-up, 
usually in exchange for convertible 
debt or ownership equity. Family and 
friends, wealthy individuals, groups, 
and crowdfunding are some of the 
most common sources of angel 
investors.
Debt Financing 
Debt financing involves a business 
selling bonds, bills, or notes to the 
individual or institutional investors 
in return for debt capital. There are 
mainly three types of debt financing 
you can consider for your startup - 
installment loans, revolving loans, 
and cash flow loans
Grants and Subsidies 
There are several programs throughout 
the country designed to encourage 
entrepreneurship. These can come in 
the form of tax incentives, subsidies, 
grants, and some sort of infrastructure 
support. Search for these grants and 
subsidies that are especially for startups 
and if you qualify please take advantage 
of them.
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