The United States ranks first in the list of most startup-friendly countries in the world. According to the rankings from CEOWorld Magazine, the country earned its spot because of its excellent research and development competency. The US also provides many options that can provide funding sources.
As a matter of fact, there were 11 tech startups in the country that had combined funding of more than $160 million. These all came from angel investors and other fund sources. If you have an amazing business idea but lack the necessary capital to launch a startup, you need to find a way to get the funds needed to start the business. Fortunately, there are several funding sources that you can consider if you plan to begin a new business in the US.
Seek Help From Family And Friends
It is typical to talk to your loved ones about the business idea that you have in mind. You can comfortably tell them your vision for the business and share all your hopes and dreams about your plans, knowing that they’ll be a source of encouragement. This is why it’s also advisable to ask them to lend you “love money” so you can pursue your dreams.
However, this will only work if one of your friends or family members have a lot of money to spare to invest in your startup. You also need to reassure them that you will return their investment and pay back all your loans as soon as you can so they will feel that you are really serious about the business.
Apply For P2P Personal Loan
There are times when banks and angel investors may decline the funding applications of startups because they feel that the business is too small to get a huge return-of-investment. That is why considering the peer to peer lending option could be a better idea to get the funding that you need.
It works by pairing borrowers with several investors virtually. It uses software that can match you with willing investors who are ready to finance your business. This lending system became a popular funding source because you do not need to submit collateral. You can find the best peer to peer lending at Crediful.com, where the current most preferred peer-to-peer lenders in the country are listed.
Try To Get Government Grants
The US government has funds to provide grants for small businesses. You just need to look for one where your concept matches their terms and qualifications. For example, some grants can provide business opportunities for the residents of an underserved area or if you live in a minority community. There are multiple grant options out there.
You only need to do some research to know if your business concept can qualify. Once you spot one, you need to submit your application right away, since applying for government loans can be a long, tedious process.
These are just some of the options that you can explore when looking for funding sources for your business. However, you need to keep in mind that you need to qualify under their terms in order to get the funds that you need. You might want to seek help from multiple sources so you will have better chances of raising the capital that will help you start your dream business.