Feb 18, 2022
4 QUESTIONS ABOUT STARTUP FUNDING, YOU CAN'T MISS!
How do I get funding for my startup in Canada?
A startup can raise funding through multiple sources. There are many possibilities of attracting startup investors if one has the proper knowledge. First and foremost, through their investment, alternatively, they can seek capital from friends and family. This is often known as patient capital, and other sources of financing can be through venture capital , angel investors, business incubators, government grant, subsidies, and bank loans.
How can I get free money for my startup?
The term free money is a myth! The concept of charging interest against borrowed money is as old as humankind's history. However, investors have come up with many better ways to get a higher ROI, and that is by taking up equity in the organization itself instead of charging interest against the money they have provided. Additionally, a modern-day VC brings the money to the table and opens up a lot of opportunities for strategic alliances. These help business funding for startups and open up new horizons of possibilities.
How can startups find an investor for their business?
Startups can find small business funding in a couple of ways: one way of reaching out to investors can be through networking programs. These programs allow entrepreneurs to learn about potential investors, understand what they are looking for and how to go about approaching them. Incubators and accelerators can also help startups identify potential investors and guide founders on how to initiate a conversation with the investors. One can even sign up for mentorship programs that provide business knowledge and provide access to a massive network of investors
How can I get seed funding for a startup with just an idea?
Ideation stage small business funding is possible in a few scenarios wherein the concept is path-breaking and solves an unaddressed challenge. The most likely case scenario of ideation stage funding is the investor stepping in as a co-founder. Alternatively, the idea creator can always opt to enter into incubation with an aligned incubator wherein the incubator will help build up the idea and take sweat equity in single-digit percentile instead of services rendered.