Ways To Finance Your Small Business In India

Setting up a new business requires a certain amount of capital to get the work started with.

There comes a time when an entrepreneur has to come up with different possible ways to acquire money for the smooth running of their business course.

Here is an overview of ten possible ways of how you can fund your business and keep your company operating seamlessly.

Ways To Fund Your Business:


One of the basics of funding a startup is a self-fund.  A self fund rather explains itself as its term suggests. An entrepreneur can generate funds for his or her business through personal savings or by selling off personally owned assets like car, house etc. This is a quick and the smartest possible way to acquire funds for your business. There’s no one to pay back, and no legalities. Although using up all of your savings can be risky, if not cautiously considered.

Business Operations

Help From Your Family and Friends

A friend in need is a friend indeed!

There is nobody who can help a person through his or her hard times besides his or her family and friends.

Another way of financing your venture is taking help from your acquaintances. Asking to invest in your business can be a huge deal, since businesses are risky and spoiler alert, sourcing funds from your family or friends could harm your relationship with them. Although it is a simple way to generate funds in a short run, the risks are at present.

Make sure to sign up a contract with proper details while proposing a deal. Also, let your investors know regarding the risks involved in the profit or loss of the business in the running time.


Bootstrapping is a funding option, quite similar to Selfunding. Meanwhile self-funding requires financing through personal cash or assets, bootstrapping is the way through which finances can be generated by using the existing resources of the owned business. Through this way an entrepreneur makes way with the cash generated by his’s/her’s/their’s Company during the business period. This is an inexpensive and a minimalist way to operate your business without any obligation to anybody. But again, the cash is limited and you might run out of money before you have to start acquiring new funds again.

Although the resources are limited, there are countless bootstrapped companies who started small and have ended up so big!

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