Unlikely Places to Raise Money
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Raising money can be one of the most difficult processes for an early-stage company. Thankfully, there are alternative ways to gain investment. Here is an overview of the unlikely places to raise money
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Unlikely Places to Raise Money
- 1. WWW.YOURDOMAIN.COMCOMPANY NAME 1 Unlikely Places to Raise Money
- 2. You need to raise money for your company. But the common paths of either (a) banks, (b) investors, or (c) VCs, are not working out. While these are the popular ways to raise capital, they are not the only ways.
- 3. Raising money can be one of the most difficult processes for an early-stage company. Thankfully, there are alternative ways to gain investment.
- 4. WWW.YOURDOMAIN.COMCOMPANY NAME 4 NEED HELP RAISING CAPITAL ?
- 5. 1. Participate in pitch competitions Universities, business schools, and other organizations regularly host events for entrepreneurs. Winning one of these competitions can provide much-needed capital without diluting equity and can also attract other angel or institutional investors.
- 6. 2. Crowdfunding With the SEC adopting new rules, you can now attract an entirely new pool of potential investors. Know exactly how you would like to crowdfund – through equity or through perks.
- 7. 3. Gather Early Adopters The first customer is the only validation you need. An early adopter that believes in your mission can pay to cover the initial costs of your business. Just make sure that this buyer does not take up all your resources and time.
- 8. 4. Government grants There is a considerable amount of public venture capital. Many states run entrepreneurship programs that are more agile than their federal counterparts. Many of these are involved in socially responsible companies, as well as advanced technology startups.
- 9. 5. Create a side business to fund your main business The Airbnb founder story is a popular example. When they were first getting their start, they had maxed out their credit cards and could not get any more funding. In response, they created a cereal brand based on the 2008 presidential election: “Obama O’s” and “Captain McCain”. Selling this ad-hoc cereal was enough to hold the company over. The rest is history.
- 10. 6. Family and friends Talk to those closest to you about your business. Friends and family may have more confidence in your ability to work on the idea when compared to an investor. Remember: this is not your money. So make sure to monitor this as you would any professional investment.
- 11. 7. Talk to professionals – bankers, accountants, or financial advisers The nature of their jobs could help provide you with a straight path to raising money. Pitch your company and how much money you would need to get started/continue working. They may have clients or connections that could help.
- 12. WWW.YOURDOMAIN.COMCOMPANY NAME 12 BusinessPlanTemplate helps entrepreneurs, business owners and executives to create plans to grow their organizations. Learn more about our Business Plan Services at www.businessplantemplate.com