January 16, 2018
Startup Fundraising

These 5 things will help your startup fundraising

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Amidst the various needs that a startup deals for its establishment, one of the major needs is of fundraising. Every startup needs some fund for managing all its operational activities, handling the inventory, paying the employees’ salary, etc. But most of the time the major concern with which every startup deals is fundraising.

Startup fundraising is one of the most challenging tasks that every startup has to deal. Many passionate ideas to raise the funds sometimes don’t deliver the desired result while some risky ideas end up in success. Thus, there are no fixed ideas or ways to try for startup fundraising but here are some ways that can be tried by the startup for raising funds.

  1. Bridging loans: Bridging loans are short-term loans which are easier and quicker than the traditional loans. Many startups prefer taking bridging loans for financing their needs like machinery, properties, bills, etc. These loans are even easier to pay back and thus become one of the preferred choices of the startups for their funds.
  2. Crowdfunding: This method used for startup fundraising focuses on receiving small donations from individual investors or regular citizens and then investing the amount into the business. This is one of the trending ways that most of the startups are adopting as it doesn’t impose any burden on any individual party.
  3. Online lending: This method to generate funds is trending because of its speed. By selecting this method, startups can get the needed funds within an hour or so. As a result, this method of fundraising is gaining popularity amongst the startups.
  4. Investor’s loan: This is yet another trusted method for generating funds for the startups. Investors are professional entrepreneurs who are willing to provide the required funds to the upcoming generations for establishing their startups. The startups should present a good proposal for convincing the investors for giving them the loan.
  5. Loan from friends or family: This is the safest and easiest method for raising funds for the startups. Friends and family are the trusted vital funding source for the startups even when there are no customers, assets, or any other necessity.

It is obvious that the startups will face some challenges for making its identity in the market. As far as the funds are concerned, startups can try these mentioned methods for finding the required help.

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Sakshi Buttan is working as a freelance writer for different websites, globally. She likes reading and observing the new things. She loves spending time at picturesque places with her laptop, a mug of coffee and bunch of thoughts. Exploring the world and meeting new people is what she is always ready for. With all the experience, she is currently focusing on climbing up higher to reach the top most point of her professional life.

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