Fresh Ways to Fund Your Start Up

Get your new home based business off the ground by exploring different ways to fund your startup.

For everyone with a business idea, the first hurdle that must be defunding your home business startupalt with is raising adequate funds to make the idea a reality.  

The obvious choice is to head to the banks, but the current economic climate means you must have an impeccable credit rating for this to work.

There is also the possibility of not getting the amount required as most banks cannot exceed certain limits in loans.

This piece takes a look beyond banks at the different modern ways to finance your home business startups.

Credit Card Funding

While this is not our preferred choice of business startup funding, if your start-up can get off the ground with less than 5 employees, you may be able to fund your business startup using credit cards.

More small businesses are taking advantage of this today.  Credit cards are one of the easiest and quickest ways to get the funds you need to start off your business.

Before you go this route however, you need to be sure you don’t exceed limits that will place the financial future of your business in jeopardy. If you get too deep into debt, the interest rate on a credit card can be very debilitating. Think long and hard about this one!

Secured Business Loans

Secured loans are usually the stop for many startups. They have since broken the monopoly of high street lenders and reduced the bar for the category of people that can get funding for their business.

Credit ratings that will get you turned back at the doors of traditional lenders will in many cases get you funding with online lenders! You get the best secured loans by using loan searching services that will aim to find you the best rate for your personal circumstances.

Social Media Funding

The social media has continued to grow in strength over the past few years. It has become everything from a place to run to when bored to a place where people can influence the political climate.

Today, many people have successfully raised funds for their start-up through it. To get funding from social media, you need to be sure your start up is something that will appeal to virtually anyone. 

Use pictures of some of your accomplishments to communicate seriousness and increase your chances of getting funding.  Social media funding achieves two things; it gets you the funds you need while giving your business some much needed exposure.

Crowd Funding

Crowd funding sites are one of the biggest success stories of the last decade. Sites like Kickstarter have helped lots of startups get the funding they need. 

This style of funding achieves two things. It helps reduce level of risk by ensuring there is a demand for a product before going into production and it also help avoid the demands of an angel investor.

Angel Investors

This isn’t exactly modern, but the landscape has changed over the years. An angel investor in the past will provide you with the funds you need in return for 25% stake in your startup. Today, you not only get the funds but also expertise. This is because most angel investors of today also offer strategy and networking intelligence.

These are some of the modern ways startups can raise money for their businesses. However, don't stop there - search the internet for any new creative ideas for funding your startup business. Doing a lot of research, by putting in some elbow grease will pay off in the end.