7 Small Business Funding Options For 2013

Cash is king, especially in an unstable economy. Having the power to be flexible and adapt is what allows many businesses not just to stay afloat, but to grow. Maybe you want cash injection to use an SEO company to develop quality web content, or invest in a new website?

There are plenty outside of the box small business funding options, which are suitable for funding a business of any size. Funding is readily available throughout the world.

Let’s take a look at a few of the options that are available…

Sticking to the tarmac roads…

Business Loans

This is what most people automatically relate to when they here the words “business” and “finance”. The borrower will pay back the loan over an agreed period of time. Whilst this does allow the borrower to plan finances, thanks to the fixed monthly repayment, getting a business loan is not particularly easy.

Asset Financing

Asset financing is slightly different to a business loan. The business will be borrowing based on the value of their asset; which the lender will use as security. The amount that can be borrowed from the lender will depend on the current and future value of the asset.

Going off the beaten track…

Don’t feel that you have to stick with traditional methods of funding a business. There are plenty of out-of-the-box ways to fund a business which could actually be more suitable to your business and your current situation.

Angel Investors

There are hundreds of investors, ready to put their money where their mouth is. What are they waiting for? They are not just looking for a business idea; they are looking for an individual that they can invest in as well. The greatest business ideas can fail without the right minds behind them.

You’ll need to have:

• A great business plan
• Clear and realistic projections
• Extensive market research data
• Knowledge of your industry
• An outstanding USP

Here are some online investment portals to get you started:

• Angel Investment Network
• Angels Den

Crowdfunding

Can’t manage to coax thousands of pounds from one investor? Crowdfunding might be the answer.

Crowdfunding platforms allow groups of investors to pool together to make a combined investment in start-ups, established companies and other projects that need financial investment. Here are some of the top Crowdfunding platforms that are worth considering:

• CrowdFunding UK
• Kickstarter
• Crowdcube

Competitions

The internet is a wonderful place; without it many of today’s 21^st century enterpuners would never have been born. Competitions like the one offered by Shopify, give people the chance to get their business off to an amazing start.

Government Funding

Details can be found on the Gov.UK – Business Support Finder and on Small Business.co.uk.

Prince’s Trust

The Prince’s Trust has been designed to help business ideas get off the ground. No finance? No problem! The Enterprise Programme is designed to help those that are 18-30 understand:

• There business is viable
• Self-employment is really for them
• What help, advice and finance options are available

Conclusion

It’s always worth evaluation a few of the different funding options that are available before choosing just one. In fact, most businesses will have the opportunity to utilise 2-3 different methods of funding.