We’ve already established that there are several innovative ways you can finance your business and keep your cash flows healthy. But when it comes to creative financing, you can never have enough options available. Here are four other venues you can consider to obtain the critical capital your business needs to thrive.
Get a Grant
Depending on your business, you may be eligible for either government or private sector grants. Every grant works differently and has different qualification requirements. However, most grants don’t require repayment or charge interest. So find a good list of the grants that are available, and see if you qualify for one today!
If you decide to purchase an established business from another person but believe getting a loan may be challenging, consider seller financing. With seller financing, the seller provides you loan terms – a rate of interest and payment period – to finance your purchase of the company. While you will be burdened with the same type of loan a bank would offer, seller financing may provide an opportunity to purchase a company when other options are unavailable.
Talk to Your Vendors
If your business relies heavily on purchases of critical raw materials, like a restaurant or small factory, reach out to your vendors. Large wholesalers and other vendors are often willing to finance your inventories or provide favorable repayment terms. This can allow you to establish your business and develop healthy cash flows.
Find an Angel
Another option for start-ups is to find an angel investor to fund you. Angel investors often provide much-needed capital to small start-ups; typically, they expect some sort of stake in the business once it becomes successful. If you think your business has the potential to attract an angel investor and are willing to cede some control for financing, find an angel investor today.
If banks and venture capitalists are not on the horizon for your company, consider these additional creative financing tips. And remember the team here at VerifiaBill. Our invoice auditing and consolidation service is designed to save you time and money, whilst ensuring your bill is error-free.