Funding for Small Businesses - Raj Kapur

​Raj Kapur - “Guidance to Wealth”

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Introduction
As a small business at various times needs to get additional funds comes up. Let us start with the initial stage and how to get funds at later stages. 

Show Objectives
No matter how great your business idea is, one of the elements is your ability to obtain sufficient funding for starting and growing the business. Now you may have funded or financed your small business with your own capital or by borrowed monies from family and friends as many small startup businesses do, but there are other options available.

Key Issues

1. Why do you need additional funding? Get very clear on it before you go ahead, borrow or invest your own monies. 

First thing is to evaluate your business at this point and get clarity. I believe that is of utmost importance. If your business is not generating enough profits and you are believing that growth is going to bring that then re-evaluate your idea. 

If you have a great idea that can expand your business then re-look at your business plans and your goals and adjust them accordingly.
Make decisions that make sense both in your head and on paper.
Do you believe enough in your idea to take out a second mortgage on your home? Sell your car? Live on basic food for a year or two years to make it possible? Do you have that burning desire and the idea that has been vetted out?

What You Need to Do

1. Take a look at your Expenses first and calculate additional costs 
2. Traditional Ways to get funding
   • Self Funding
   • Get your family and friends to invest first
   • Personal & Business Credit Cards
   • Merchant Cash Advance
   • Getting a line of credit from your supplier (depending upon your business)

Other ways to Get Financing

1. Angel Financing
2. Crowdfunding
3. Venture Capital
4. Small Business Loans
5. Government Grants - If your business is eligible

Tips to Manage Finances

1. Create a Budget Plan
2. Know your business well
3. Separate Personal & Business Finances
4. Improve your Credit Score
5. Think about Financial Advisor
6. Cutting on Excessive Expenditures
7. Look at the insurance needs to protect your business
8. Lease business equipment 

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Written by: Raj Kapur
www.RajKapur.com
www.NonProfitEdge.org