Money, Money, Money...For your business
Updated: May 14
So let's say you want to start a business. We all know that takes some money for those expenses. We all know Friends and Family is known as the first source of financing. What if you want to do this on your own? We are sharing some ideas on how to make this happen.
1. Government Funds
They are used to generate business models and project development, that is, when it is more advanced than a simple idea. They are also used to create prototypes that help to market the product or service in the market.
2. Seed capital
It is a loan that provides the amount of money necessary to implement a company and finance key activities during the start and start of the project. It is delivered when the company is incorporated and has an important product, but requires money to operate or for working capital.
3. Angel investors
Companies that are operating generally receive this type of contribution, because due to their high innovative content or potential development, they attract credits. Angel investors are generally independent or belong to a club, since they style networks of this type of support in companies.
4. Venture capital
Also known as Venture capital, it is used when the company has a certain level of development; It is a fund that invests larger amounts. It is a temporary contribution of third-party resources to the assets of a company to optimize its business opportunities and increase its value. In this way solutions are given to business projects, risk and returns are shared.
5. Bank financing
Companies can resort to bank financing in order to have a flow in the daily operation of the business. In addition to commercial banking, there are Sofomes that can help you, as well as companies dedicated to financial factoring. The important thing is to compare the products and bet on the one that best suits your personal needs, since the credit must be a tailored suit.
Remember, there no right are wrong way to make this happen. Contact COVID-19 Business Services as we can help!