An analysis of the startups for raising money

Every organization has to raise funds for the conduct of their business in a smooth and hassle free manner. Funds are also required for the survival, success and growth of the business entity. Just like all the business organizations startups also require to raise money for transpiring their dream venture into reality.

Here are some of the fundraising platforms for startups that help them to raise funds for their business:

Banks: Banks help the startups to raise funds by offering loans at comparatively low interest rates. Banks offer either collateral or non collateral loans to the startups and help them in funneling funds in their venture. Startup owners need to give the blue print of their project and their work details to the banks on which they provide required loans to them.

Non banking financial institutions (NBFCs): Those individuals who are not able to get loans from the banks because of certain issues, NBFCs come to their rescue. These are non banking institutions that provide loans to the startups at the high interest rate. They provide loans against the security pledged with them.

Crowd funding: This is one of the most sought after fund raising platforms for startups. It is the practice of funding the project or venture by raising small amounts of money from a large number of people online. This approach taps the group efforts of the large pool of individuals mainly online via social and helps the startups to gather funds for their venture.

Angel investors: They are the private investors with a high net worth and have the capacity to provide startups with a required finance for their venture. They are highly beneficial for the startups that require funds at the early stage of their business. They provide a one -time investment to aid the business entities get off the ground and support them to carry them off at their early stages.

Incubators: An incubator firm is an organization that help the startup to kick start their venture. They help to grow the startups from the early stage idea to a company that can stand its own. They help the startup ventures with funds and provide them with space, mentor them and train them in carrying out the venture in a seamless manner.

Accelerators: Accelerators provide required funds for the startup owners. They also provide training, advice and resources for the startups and help them attain success in their business. They also guide the startup owners in smooth conduct of their business. They turn the ideas to assets by providing funds, mentorship and     other related help to the startup ventures.

Finance from near ones and dear ones: Startup ventures can raise finance from their near ones and dear ones who are ready to finance for their venture. They provide startup owners funds at a low interest rate and help them start with their project.

All these are most sought after fund raising options by the startups for raising funds for their business and also for the smooth conduct of their business operations.