8 Alternative Business Funding Options Beyond Traditional Banks
By Priyanka Roshan, May 31, 2024
VENTURE CAPITAL
Venture capital firms provide funding to startups and small businesses with high growth potential in exchange for equity.
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ANGEL INVESTOR
Individual investors who provide capital to startups in exchange for equity or convertible debt.
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CROWDFUNDING
Raising small amounts of money from a large number of people, typically through online platforms.
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PEER-TO-PEER LENDING
Borrowing money directly from individual lenders through online platforms.
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GOVERNMENT GRANTS & SUBSIDIES
Financial aid provided by government bodies to support small businesses, and startups.
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BUSINESS CREDIT CARDS
Useful for managing short-term expenses & building business credit. They often come with rewards & benefits tailored to businesses.
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MICROFINANCE LOANS
Small loans provided by microfinance institutions at lower interest rates and are easier to obtain than traditional bank loans.
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INVOICE FUNDING
Short-term borrowing by lenders against outstanding invoices to improve cash flow.
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