Funding & Finance

Understanding your funding options and managing finances effectively is crucial for your startup's success. This guide covers various funding sources and essential financial management practices.

1. Funding Options

Equity Funding

Angel Investors

Individual investors providing early-stage capital
$25K - $500K
Venture Capital

Professional firms investing in high-growth startups
$500K - $5M+
Crowdfunding

Raising small amounts from many investors
$10K - $1M

Debt Funding

Bank Loans

Traditional business loans from banks
Lower cost, requires collateral
SBA Loans

Government-backed small business loans
Better terms, longer process
Revenue-Based Financing

Funding based on future revenue
Flexible, higher cost

2. Fundraising Process

Preparation

• Business plan
• Financial projections
• Pitch deck
• Market research

Investor Research

• Identify potential investors
• Research investment criteria
• Network building

Pitching

• Initial meetings
• Follow-up presentations
• Due diligence

Negotiation & Closing

• Term sheet review
• Legal documentation
• Closing procedures

3. Financial Management

Cash Flow Management

Revenue tracking
Expense monitoring
Payment scheduling
Emergency fund

Accounting Practices

Bookkeeping
Tax compliance
Financial reporting
Professional help

Financial Planning

Budgeting
Growth projections
Risk management
Resource allocation

Next Steps

Ready to grow your startup?

Learn about marketing strategies and growth tactics in the next section.

Continue to Marketing & Growth