Funding
Describe how you will fund your business
I am looking at a few options into funding my business. I want to consider looking into friends and family as my main fundraising as it will be the easiest way to get money. I need about $500,000 to start my business. I am looking to self fund $100,000 and gather $150,000 from friends and family. That leaves me with $250,000. I will look into an angel investor to help. If that doesn't work out and I can't raise the amount needed, I can always look into a business loan as my final option. Finding the right investors and getting the best deal will be the hardest part. I want to make sure I make the right decision in my investor and I hope to not give away any equity as equity is the most expensive part of any business.
Another alternative to funding my business will to look in venture capital. I can self fund a smaller amount, lets say 50,000. I can get another 50,000 from friends and family. I will then look into an angel investor to help. Let's say they put in 100,000. That leaves me with 300,000 I need to acquire for my start up. I can get the help of a Venture Capitalist to help fund the remaining costs in return of some equity of the business. It is really risky as I will have to pay them back in some way if my business was to flop. I feel more comfortable not risking that much, but sometimes high risk have high rewards.
I am looking at a few options into funding my business. I want to consider looking into friends and family as my main fundraising as it will be the easiest way to get money. I need about $500,000 to start my business. I am looking to self fund $100,000 and gather $150,000 from friends and family. That leaves me with $250,000. I will look into an angel investor to help. If that doesn't work out and I can't raise the amount needed, I can always look into a business loan as my final option. Finding the right investors and getting the best deal will be the hardest part. I want to make sure I make the right decision in my investor and I hope to not give away any equity as equity is the most expensive part of any business.
Another alternative to funding my business will to look in venture capital. I can self fund a smaller amount, lets say 50,000. I can get another 50,000 from friends and family. I will then look into an angel investor to help. Let's say they put in 100,000. That leaves me with 300,000 I need to acquire for my start up. I can get the help of a Venture Capitalist to help fund the remaining costs in return of some equity of the business. It is really risky as I will have to pay them back in some way if my business was to flop. I feel more comfortable not risking that much, but sometimes high risk have high rewards.
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