Page 93 - MICROHUB Handbook - ENGLISH

FUNDING

OPPORTUNITIES

At some point, you will likely need to look for business financing

throughout the growth of your small business, whether it's to address

short-term cash flow concerns or to fund the expansion of your company

over a longer period of time. Depending on the type of your company, the

specific difficulties you confront, or the chances you wish to seize, there

are a variety of business funding choices accessible to you. There are

several ways of funding your craft microenterprise, traditional and
alternative, that will be presented below.

1. Bank Loans: Traditional bank loans are still one of the most popular

sources of debt financing for small businesses and start-ups. This

option is suitable for a business that has a good relationship with its

bank, a sound credit history and a compelling business case. You

should research loan types, terms, and interest rates thoroughly to

find the most appropriate deal for you.

2. Crowdfunding: Crowdfunding is the practice of using modest sums of

money from many people to finance a new business venture.

Crowdfunding uses social media and crowdfunding websites to
connect investors and entrepreneurs. By enlarging the pool of

investors outside the typical circle of owners, family,

and venture capitalists, crowdfunding has the

potential to boost entrepreneurship. A very

common platform for content creators is

Patreon, which provides them business tools

to run a subscription service.

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