The most common question most budding entrepreneurs ask is, “Where to find money for starting my own business?”

Well, the answer might be demotivating for some of you.

Nobody is just waiting to provide funds to your business as soon as you throw a new business opportunity towards them. The good part is there are ways to find investors for your business in the quickest time possible. However, before actually scouting the right people to finance your business, it is important that you seriously zero out on an opportunity that you find most feasible from all possible aspects.


Every alternative has its share of pros and cons, so relying on a single option is not wise. Some investors think professionally. They would really like to check out your past records and even would demand a major stake or control, once they associate with you. In addition, they would expect a majority stake and control, once everything in place. These things could be dangerous for a beginner entrepreneur. So, how to deal with it? List the options in terms of priority i.e. from most profitable and least risky, to most risky and least profitable.

It is always a matter of the most viable option in your case. Different options work for different businesses. Sometimes it takes a lot to gain a lot. What we could suggest you are the 6 most reliable ways to collect funds for your business.

Bootstrapping – funding your business on your own

More than 90% of businesses are self-funded. It means they invest their own money to build a business from scratch.

This process might be slower as compared to other alternatives, as you need to save good enough money before actually starting your venture.

However, the major advantage of this option is you need not to pass on the control or equity generated from your business to others. It remains yours forever.

Credibility – seek help from close ones or ask for donations

You can approach your friends or family with the business idea and plan in mind.

What is required here is your exceptional convincing power that can encourage your loved ones to invest a part in it realizing your long-term vision.

Even donations or charities could be of great help to give a kick-start to your ambitious project.

Crowd Funding – taking help from people in the crowd willing to help you out


There are many online crowd-funding sites where people come and invest in small amounts to fund a big project.

People having creative and innovative business ideas pledge to millions of people in the crowd to invest whatever amount they are willing to, in order to help the project be able to collect anticipated funds for the business future.

In return, investors receive perquisites in form of T-shirt, reward, donations, profit sharing, and more.

Angel Investors – approach experienced and professional investors


Angel investors are individual investors or groups who support startups by investing millions of dollars.

How to find them? Well, there are many online platforms where these groups or individuals are registered.

You just need to socially connect with them on these platforms and find the right ones willing to spend their money on your passion.

Venture Capitalists – institutions inclined towards spending professionally


They are big financial institutions who believe in investing money from a professional perspective in a highly promising startup with an established business model already in place.

The startups are the ventures already having a skilled team of people and needing millions of dollars to set up the infrastructure and other overhead costs.

Strategic Partnership – find the right partner sharing the same vision

Find right kind of partners for your business who understand and visualize your goal in the same way as you do.

Such partners would be more than inclined to fund in advance or provide royalty payments with each passing development stage.

Signing agreements early on will make things smooth and transparent between partners.

Bank Loan – get finance from financial institutions on credit or interest

This is one of the most common ways to start with your new business venture. With a decent credit history or a set of assets to put on line, you can get the required loan for your business on a set interest.

Almost all financial institutions will be willing to provide you with a loan if you fulfill all the documents and business related requirements, and if you are eligible for a defined loan.