How do startups finance?

For start-ups, the amount of initial financing is not important. The important thing is to get money quickly, get enough money in the future, and maintain a healthy shareholding structure. So, how do startups finance?

How do startups finance?

1 co-founder:

Nowadays, many (newly established) enterprises have set up option pool and equity incentives, and set up limited partnerships to gather employees' funds (pay attention to the policy red line), thus creating a platform for the integration of interests and careers.

2 Find a suitable business incubation platform:

The business incubation platform aims at incubating high-tech achievements, high-tech enterprises and start-ups and promoting cooperation and exchanges. Assist in obtaining government funds, apply for secured loans, directly invest in enterprises, and combine with venture capital.

3 bank loans:

Entrepreneurs can also solve their business expenses by obtaining personal loans. However, if you can't repay the loan, doing so may have a negative impact on your credit.

4 crowdfunding model:

As one of the hot spots in the field of Internet finance, the current Internet crowdfunding platform has developed rapidly, and various forms of crowdfunding platforms have emerged as the times require to solve the problems of realizing ideas, listing products, store expansion or equity financing.

In addition, entrepreneurs need to make necessary investigations on the target venture capital, determine whether it is a suitable investor and study the investment history of venture capital. You must first know which institutions are professional and have a good reputation. Different investment institutions focus on different fields, and which institutions are more inclined to your direction.