Tell us more about your company
The two general categories of financing available
for businesses are debt and equity. Debt requires repayment of a loan.
Equity involves raising capital by selling parts of the business to
investors.
How much money your business needs, what the
financing is needed for (start-up, expansion, new development), as well
as how your business is organized, its size, and its stage in the
business life cycle (start-up, growth phase, mature) are just a few of
the things that may influence your efforts to raise capital.
If
yours is a new business without a track record, you may have difficulty
raising capital from lenders or investors. A first place to look for
capital might be your own assets. You may be able to raise money for
the business from your savings or borrow against a retirement plan,
life insurance policy, credit card, or the equity in your home.
If
your business is more established, you may be able to borrow from a
number of sources. You can apply to banks or credit unions for loans.
You can contact the Small Business Administration for information on
the programs it administers to help businesses obtain financing. Your
local chamber of commerce may be able to put you in touch with state
and local agencies that provide financial assistance to new businesses
located within your geographic area. You need to have a detailed
business plan to provide to potential lenders or investors.
Good luck, LUCKIEST
