5 Sources of Investment for New Starting Business

Starting up a business is an extensive and very gruesome task. It not only requires a lot of manpower, hard work and experience but is also demanding when it comes to financial investment in form of Capital money. In fact, no new startup business can setup, establish or run without backup support in form of finances. If you are planning to set up your business recently as well, here is a quick look at the 5 sources that will be the best and most reliable sources to seek financial investment from.

  1. Use credit card for payments

If the money you need is a small amount, you can always consider using your credit card for making the timely payment. Credit cards will help you to pay at the time which you can repay immediately as a client pays you or your first profit comes in. However, credit card payment option is not valid for large sum of money.

  1. Borrow from family or friends

Another very smart way of get money for your start up business without having to worry about the tax or credit over it is to borrow it from your friends or family members. There are definitely going to be a few people who will surely be able to lend you money for a specific time period. The best part for borrowing money is that there is no interest or tax over it that you will have to pay.

  1. Seek help from an angel investor

If you are looking for capital for your business in large amounts and it does not seem wise to take it up a loan from the bank because you know that you will not be able to pay it off later onwards; an angle investor is the best choice you can make! Angel investors are readily available these days since these are the overly rich and established individuals such as businessmen, celebrities, politicians or sportsmen who have a lot of money to invest in your business without wanting it back. All they would want is a stake or share in your business – which is definitely not a bad deal to strike. This will not only promise funding for your new setup business but will also bring in occasional financial support from the stakeholder.

  1. Take up a small business loan

You can always take a small business loan from your bank. However, you should remember that you will have to pay interest over it. Nonetheless, if this does not bother you it should not be a problem.

  1. Look for sponsors

There are many brands for furniture, office equipment, accessories or other businesses that are available to sponsor your business. This will not be ample support but will definitely get the cost covered for a certain part of your business. Say you get a sponsor for the furniture, this way you will get all furniture for your office setup completely free of cost so that expense will be spared for you!

 

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