Starting your startup is a tough task when it comes to funding.
Funding is the monetary help that you need to execute your startup idea and convert it into a full-fledged company.
But getting funding is not as easy as it sounds, and the simple reason for this is RISKY!
Investing in a startup is very risky as you never know if it will work or not.
And that is why getting startup fundings in India is a tough job.
But don’t worry, we did some digging and came up with the list of the best ways to get startup funding.
Best ways to get startup funding in India!
1) Venture Capital Funding
VC Funding is one of the most secure and probably the best ways to get funding.
But there is an essential condition that you must fulfill to get VC Funding. And the term is-
Your startup must be promising, unique, and appealing.
If your business idea lacks these things, the investors will not be convinced to risk their money.
But if they see potential in your business idea, then you will quickly get VC Funding.
2) Bank Loans
Banks are the initial option that comes to a founder’s mind when he/she is looking for his startup funding.
If you don’t know how to get startup funds via banks, you must understand that a bank offers two different kinds of financial help for businesses. First is working capital loans, and the second one is the funding.
A Working Capital loan is the loan needed to run one full cycle of revenue-generating operations, and hypothecating stocks and debtors usually decide the limit.
3) Get Money by winning contests!
Nowadays, the world gives numerous opportunities to get easy Money with the help of contests.
The rise in the number of contests has remarkably helped to maximize the chances of fundraising for startups.
Contests encourage business people with unique and convincing business ideas to start their businesses.
In such competitions/contests, you either have to build a product or prepare a business plan.
Some of the best startups contests in India are:
4) Angel Investment
Angel investors are the people with an ample amount of cash and interest to invest in new and appealing startups.
These investors also work in groups of networks to cumulatively screen the proposals before investing.
Sometimes, they can also give mentoring or advice alongside capital.
Crowdfunding is a new yet effective way to get funding for your startup.
The best thing about the concept of crowdfunding is that it also generates interest. Thus, it helps in advertising the product alongside financing.
Crowdfunding is also a blessing if you are not sure if there will be any demand for your working product.
The Final Word!
These were the best five ways to get funding for your startup and raise ample seed fund.
Thus, if you plan to choose any of these methods-
All The Best!