When you have a great business idea, funding is often the biggest hurdle. You have a great idea, but how can you raise the money to get it started?

If you have a tech-based idea, you may have an easier time attracting attention from venture capitalists or angel investors. However, as more companies pursue this funding route, finding an investor is becoming harder than ever.

• Small Business Loans

Some banks offer loans specifically to small businesses. However, historically, banks have been cautious about lending money to small companies, so it can be difficult to qualify. Fortunately, there are alternative lending companies that may be better equipped to help you get your business off the ground.

• Finding an Angel Investor

Individuals with surplus cash, known as angel investors, are interested in investing in new start-ups both in India and worldwide. The risk involved in these investments is higher than with loans offered by financial institutions, as angel investors plan to invest for higher returns to profit.

• Bootstrapping your startup business:

Self-funding, also known as bootstrapping, is an effective way to finance your startup, especially when you are just starting your business. First-time entrepreneurs often have trouble getting funding without first showing some traction and a plan for potential success.

• Credit Cards

While it is not the ideal way to raise money for a business, credit cards can be a quick and easy solution to your money woes when cash runs low. With a business credit card, you can charge the things you need and write a check for the minimum payment each month.

• Contests

Competing in entrepreneurial showcases that offer cash prizes may not seem like a viable way to raise money for your business, and you may not make everything you need in one fell swoop. However, it can supplement the money you raise from other sources.

• Accelerators and Incubators

Depending on your industry, applying to accelerators or incubators may be a good path to consider. These programs can support early-stage companies with mentorship, operations, marketing, and access to capital. Startups enter one of these programs for a fixed period of time and often work alongside other emerging brands in their industry.

• Grants

Many founders believe that grant money will be an easy source of capital, but the reality is that they are very hard to access. Most grant money has stringent requirements for distribution. The best chance at winning grant money is by seeking out highly localized opportunities rather than relying solely on national programs like the SBA. However, do thorough research on this option before building it into your plan.

• Self-funding

Self-funding is great – if you can do it. You don’t lose any of the potential upside through dilution, you don’t give up any control over the company, and you don’t delay product development and market entry while you’re trying to raise capital. The major downside to self-funding is that you don’t have other investors who may be helpful strategically or for future financing rounds.

We have always emphasized the importance of having a good website for your company because it can act as your best tool for marketing and sales. A poorly designed website can repulse people from your business and can cause you to lose customers before you even have them. Get in touch with HyperEffects to work on creating, enhancing, and making the website of your company more user-friendly.