How to Get Funding for a Startup in India
Are you staying in India and planning for the start-up of your business, but you don’t have a fund for your business? then how you will give a start-up for your business?
India is the country where people are born with analytical mind but due but lack the capital to finance it they are unable to start-up the business No matter how unique or ground-breaking your business idea is, it’s unlikely to get off the ground without proper funding, there is always an option to raise money from family and relative but raising money from friends and family is not always possible. So, what other options do Indian entrepreneurs have?
According to a survey, every year around 70 % people start their business but due to fund issue their business gets fail as your dream begin to take wings, funding becomes the inevitable wind beneath those wings.
Every entrepreneur has one question I have a plan for start-up for their business but how I will get finance for my start-up
I have the few options why which you can get fund to give a start-up for your business and by that, you can be an owner of your business. These funding options are for Indian business, and I hope these options will give you a right way for collecting fund for your business, please read and do comment to let me know if you get help with these tips or for any query related to same.
Get funds from Effective Investors:
In India there are many of effective investors who belong from incorporate origination they invest in social entrepreneurship venture and in return they expect some percentage of profit, so just reach a good, a genuine investor of your region who can understand your plan and can help for raise the money for the start-up of your business
in India Azim Premji, Anil Ambani, Ram Shriram are the few examples of an investor.
Get funds from Bank:
Managing finance is unarguably the most important component of any business. For SMEs, timely finance is the key to making the most of business opportunities. Keeping this in mind, there are many banks like ICICI Bank, SBI, PNB, Andhra bank, and many more have designed a package of loans to best suit their business requirements. These banks are best, genuine and fruitful and genuine for the fund Like getting Export Credit, Overdraft facility, Bank Guarantees and other products from Bank designed to meet your Working Capital Needs. Quick processing, multiple collateral options, and competitive interest rates ensure that this is the best option for your business. they have decentralized operations to ensure fast processing and quick availability of loans, they have their Relationship Manager works with you to help meet all your needs, they offer competitive interest rates, commission, and charges, all bank has around 3,000+ branch network and Anywhere Banking facility ensure ease of operations, collections, and payments,
You can get the following loans/facilities from Indian Bank to manage your Working Capital:
- Cash Credit limit/Overdraft facility to meet your everyday requirements
- Working capital limits to meet your export requirement. Export Credit for providing Pre and Post-Shipment finance to exporters
- Working capital limits in form of non-fund-based facilities – Letters of Credit and Buyers Credit to ensure timely delivery of goods
- Various types of Bank Guarantees to meet performance and financial obligations
Get fund from Government:
In India Government also giving their 80% to make the country develop they also want India as a business country and for this India has made some organization who provides fund according to your need, they help entrepreneur for their business for Simplification and Handholding for Funding Support and Motivations for Industry-Academia Partnership and Development,
There are examples of few organization in India like SIDBI, NABARD, India filing(https://www.indiafilings.com/llp-registration) Start-up India
( https://www.startupindia.gov.in/) Start-up India is a top initiative of the Government of India, planned to build a strong eco-system for nurturing innovation and Start-ups in the country that will drive sustainable economic growth and generate large scale employment opportunities. The Government through this initiative aims to empower Start-ups to grow through innovation and design.
For more details must Read(https://www.myonlineca.in/startup-blog/govt-venture-capital-firms-for-startups)
Get fund from Accelerators:
Accelerators are like an instructor which instruct to you on your start-up so it’s like a college university which provides you mentorship and funding and there are a lot of things. they have fixed tenure and terms. Start-ups must give a small equity to these accelerators from 2 % to 10%.
For more details must Read: Best Accelerators list for Startups in India
Get fund from Incubators:
Incubators are also a major contributor to Start-ups. Incubators are like an organization which provides you fund as well as they provide the working space like an office for your work. but they take the stick more than as compare Accelerators
For more details must Read:- Best Incubators list for Start-ups in India
Get fund from Bootstrapping:
This is the first-born and the most preferred form of funding your start-up, go to local wholesaler shop of your place who have good funds to invest, they bootstrapped by an enterprising Sahukaar, they provide you enough fund for your business and in return of they will take some interest by per day,
Entrepreneurs also prefer bootstrapping over any form of external financing as this is best and easy process for funds for business start-up.
Get fund from Credit Card:
it’s also the best way to raise the money for your start-up in India. Credit card basically works for to purchase initial assets for a start-up or incorporate and register your business entity.
You can buy any material through credit card like printer, furniture, frieze, Ro etc, in good cashback, with the attractive voucher but keep in mind they are taking interest in return on this,
For credit card, you should have registered company with fixed salary and bank account
Now it’s up to you. How have you tried to protect your start-up’s financial success? Which of these ways have you tried? Let me know your thoughts in the comments section below.
Also Read: HOW TO BECOME A TEDx SPEAKER IN INDIA