Finding funding prospects can be time-consuming and may discourage you from starting a business, but we can promise you that there are numerous options accessible. These options range from popular choices like crowdfunding to startup loans, both of which give the necessary capital for your new starting business.
To assist you in making your selection, we've put together a fast overview that summarises the benefits and drawbacks of the nine most common startup funding sources in the UK.
What are my options for securing funds for my company?
As previously stated, finding fresh funding sources might be tough. With this in mind, we will highlight some options for you to consider as you begin to fund your startup firm.
- Start Up Loan Scheme
To prove that your startup can afford the monthly repayments, you'll need to submit a detailed business plan and cash-flow forecast. If you’re unsure about how to create an effective business plan, read our blog post, “Why a Business Plan is essential and how to write it”.
Once you’re accepted, you'll also be paired with a business mentor for a 12-month period.
- Small business grants
You could also look into your local borough's small-business award programmes, as many local governments provide money to new businesses in the area.
- Venture capital
A venture capitalist also plays an important role in the company's operations, often as colleagues or partners. This type of financing, on the other hand, may not be appropriate for those who want to preserve control over their own business.
- Angel investors
- Crowdfunding platforms
There are two types of crowdfunding:
Not only will this provide you with the funds you need to get your startup off the ground, but you won't have to give up any of your company's shares because the investor's reward is the product itself.
Because these platforms provide investors equity in your firm, they are more inclined to invest more than a regular consumer.
Regardless of how you wish to fund your startup business, Persona Finance aims to provide vital accounting services for all fledgling firms. We want to add more value to your organisation by handling everything from bookkeeping to tax returns. Please contact Persona Finance at [firstname.lastname@example.org] for further information on our services.