Six Sources for Small Business Funding

Every business owner knows that ready access to cash can mean the difference between success and failure at critical points in their firm’s life cycle.

Generally speaking, these critical needs come in two forms: start-up capital and working capital. Start-up capital is self-explanatory but can be very hard to come by, particularly if both the company and the entrepreneur have no track record of success to point to.

Working capital is required during those inevitable times when you run out of money before you run out of month. You may have tens of thousands of dollars in accounts receivable that will show up in the mail any day now, but that won’t do you much good meeting payroll tomorrow.

This article posted on SmartMoney.com offers a quick overview of Six Source of Capital for Small Business:

1. Grants
2. SBA Loans
3. Banks
4. Credit Cards
5. Angel Investors
6. Venture Capitalists

If you’re weighing your options regarding “Sufficient Capitalization,” this article is a good place to start.