Entrepreneurship : Ways of fund raising
Worried about raising funds for your venture ? Clueless about where to find ? Thank god, you have landed up at the right place.
Every entrepreneur at some point of time has to go through this phase of his/her career. Fund raising, the term just looks familiar but makes everybody blind in the reality.
Lets look after the various sources of capital, the do’s and dont’s while raising funds.
Depending on the size of the capital, the sources vary in their names
As soon as the founder decides to raise capital, he/she bootstraps his/her own money for the initial days of their new career. Bootstrapping a company with your own funds protects that freedom without the accountability to an outside voice protecting the investment. Following this, the next stage he/ she borrows it from friends and family. To know more : https://www.entrepreneur.com/encyclopedia/bootstrapping
Crowd Funding is another safest way to raise funds. The least expensive form of fund raising where the prototype is explained and if the public is interested they will fund to see the final product. Here too, freedom is guaranteed.
The capital angel investors provide may be a one-time investment to help the business propel or an ongoing injection of money to support and carry the company through its difficult early stages.
The four basic types of individual angel investors are value-oriented, deep-pocket investors, partner investors, barter investors, and socially responsible investors. In addition to these types of angel investors, there is the family angel investor. The family pools its resources and selects an astute, trusted, skilled family member to coordinate the investment effort. Selected communities like mar wadis belong to this type of angel investor.
To know your angel investor , click this https://angel.co/india/investors
Don’t forget to search you investor here in this : https://angel.co/
Seed capital is penultimate stage before catching the big fish, venture capitalist commonly referred as VCs.
Excited about fishing the big fish ? Just hold on. First study how it plays. Prepare your bait based on it to fish it easily : https://hbr.org/1998/11/how-venture-capital-works
Initial public offering (IPO) is next step, where shares of the firm is given to the public and the fund raised is invested in the firm. This is the most expensive form of capital.
There are individuals who have played( playing ) instrumental role in many of the successful startups in India. Want to know who are they : https://qz.com/616934/indias-angels-10-investors-who-have-backed-over-400-startups/
Government of India under the prime minister’s initiative Make in India is supporting the budding entrepreneurs. To know more visit http://kcecell.in/post.php?currentid=16.
Hope this helps to reach the destination of being the successful entrepreneur !
Cheers.
