As the startups of India are making themselves unicorns, this encourages people to start at least a small-scale business. But to uphold your business you need an outstanding product and proper finance planning. Financial management is a very sensitive topic as finance is the backbone of your Industry but you don’t have to be worried as there are plenty of ways to seek knowledge about proper financial management. This article titled “sources of finance for entrepreneurs” will fulfill this need.
Sources of Finance for Entrepreneurs in India
1. You have to be your Investor
While learning about the sources of finance for entrepreneurs, you must start by becoming your investor. This will also encourage investors to invest in your business as there is a feeling developed that you also are very energetic towards managing and running it. This will contain risk too, so invest that much you can afford and do not take any debt on you because the debt trap is a dark web for your business.
2. Ask for Support from your Family and Friends
As the source of finance for entrepreneurs, your family can also give you great support in setting up your finance. Your friends can also help you by giving you financial aid. You can offer them high returns on their investment and some stake in your company.
If you are borrowing money that would be better as compared to borrowing from banks as this can give flexible repayment options. Always be aware that your relationships are always at risk in case of money borrowing. So approach them with proper planning.
3. Take Bank Loans if you can Afford
After this, you can take loans from banks if you need them. Take this step only in case you are sure that you can repay. As mentioned earlier Debt trap is a dark web for your company. Many people take loans as sources of finance for entrepreneurs but fail to repay them which leads to huge consequences.
4. Investors
There are always people who search for new businesses to invest their money in. So you can search for them physically or by any electronic medium. They have the capital which you need to set up your business and can supply you with the amount of capital you need. But they are also professional in their jobs.
They will question you harshly on your business. So be prepared with sources of finance for entrepreneurs’ ppt which you can present to them to take their capital. Not only individuals but some companies invest in small businesses, you can try that also. But remember to have sources of finance for a startup ppt that should be presented to them to convince them to invest the capital
5. Government Subsidies
There are some subsidies and grants provided by the government to small and large-scale businesses. Less for large and more for small so that they can also lift. Financial assistance from different companies can vary, but at least ‘something is better than nothing.
The amount you get can be small or large, but the best part is that for most of them, you don’t have to repay. It is also a great source of finance for entrepreneurs in India
6. Incubators
Some companies assist small-scale businesses by giving up the workspace, mentorship, etc. This will also reduce your infrastructure cost. So you can try this if you need. Prepare sources of finance for entrepreneurs’ ppt and present them to them.
7. Crowdfunding
You can present your business idea to a group of people. People who believe in you can invest in your company and can help you raise capital. There are some platforms like kick starter which help you.
You also need sources of finance for entrepreneurs’ ppt and proper detail so that you can convince people for investing in your business. This is somehow related to the share market where the image of a company can help you to get funds.
8. Financing
Rather than purchasing your equipment, you can finance it or even lease it. You can finance your equipment from a store or a purchasing site by taking the help of a financial institution that will give you a loan or takes guarantee that you can pay. It is a potential source of finance for entrepreneurs in India.
Conclusion
Sources of finance for entrepreneurs is a job that needs patience. Don’t be hyperactive, be patient and wait. There are many ways listed but always take that step which you find helpful for yourself. The financial needs of different organizations are always different. So choose the way of arranging capital wisely.
Sources of Finance for Entrepreneurs – FAQs
How you can make a source of finance for entrepreneurs’ ppt for convincing people?
Ans. People need an Idea that is outstanding and different from the crowd. You can make sources of finance for entrepreneurs’ ppt, which describe your business. Images and videos also play a wide role in convincing people. But beyond all this, your business idea should be that which can sustain in the market.
How Incubators are helpful?
Ans. Incubators provide you the office spaces, mentorship, etc. This will reduce your infrastructure cost, and you can invest it in another area. Finding the sources of finance for entrepreneurs in India is a very hard deal, so if are getting some help, why not go with it?
