financial strategy

What are the Common Funding Sources?

Entrepreneurs have several funding sources available:
Bootstrapping: Using personal savings or reinvesting profits into the business. This method provides full control but may limit growth potential.
Angel Investors: Wealthy individuals who provide capital in exchange for equity. They often offer valuable industry expertise.
Venture Capital: Firms that invest in high-growth potential startups in exchange for significant equity. This option can provide substantial funding but may come with high expectations.
Crowdfunding: Raising small amounts of money from a large number of people, typically via online platforms. It also helps in marketing and validating the business idea.
Bank Loans: Traditional loans from financial institutions. These require repayment with interest but do not dilute ownership.

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