Fundraising is a major challenge for startups. Here are some ways to raise funds for your business!

1. Get investments from close friends
   Collect money from family and friends who believe in you. Most of them are likely to invest in your venture as they believe in your dream. But, borrowing money can break friendships or create a bad atmosphere in the family. So, keep the promise and try to repay the money.
2. Government projects
   The Government of India has launched several loan schemes that are beneficial for start-ups. Recognising the importance of economic growth, the government has introduced schemes that support women entrepreneurs, educated youth, SC / ST communities, villages, etc. It promotes India's inclusive economy.
3. Find Angel Investors
   People who have extra money and are interested in investing in new start-ups are called angel investors. However, the biggest risk when raising funds from angel investors is that they expect more profits.

Prominent angel investors in India include Ratan Tata, Kunal Shah and Sanjay Mehta. Start-up owners can establish direct contact with investors for funding. It's a great business idea for investors. The idea should have the potential for innovation and profit.

4. Venture capitalists
   Venture capitalists (VCs) play a crucial role in the startup ecosystem as they provide funds to start-up companies with high growth potential. VCs are of interest to start-ups that have a strong, stable business model and a proficient team, presenting clear and bold long-term goals.

VCs invest in start-ups to earn high profits, usually funded by equity. Unlike angel investors, VCs team up with firms that have invested for success through long-term partnerships.

But, VCs are generally not willing to invest in the early stages of the start-up and the late stages where there is high competition. Venture capitalists not only provide funding but also provide strategic guidance for business development.

5. Bank loans
   Banks in India provide traditional loans to start-ups on the basis of creditworthiness and business plans. There are two types of funding available for start-up ventures: loans and working capital loans.

Although the process can be lengthy, getting a bank loan can bring stability and help entrepreneurs retain full ownership. However, if you don't have a financial history or a good credit score, it can be challenging to get a loan from private and public sector banks.

6. Start-up incubators and accelerators
   Joining an incubator or accelerator program provides mentorship, resources, and networking opportunities for start-ups. Joining these providers of services, including services, operational requirements, and legal assistance, can be through tough competition. Also the objectives of the program are likely to influence the vision of the start-up.
7. Crowdfunding
   Crowdfunding is a way of raising funds from many investors through social media sites or web-platforms for various purposes. This includes social causes, relief, donations, and start-up funds.

Some of the online web portals that offer crowdfunding in India are: Indiegogo, Ketto, Milaap, GoCrowdera, Catapooolt, FundRazr, Kickstarter, GoFundMe, Fuel A Dream, Impact Guru.

8. Bootstraping
   Bootstrapping is when you start with a small amount of money. This reduces the pressure to repay the loan. However, this will limit the rate and speed of growth. At the same time, bootstrapping inspires financial science and operational efficiency.
9. Freelancing
   Entrepreneurs can raise funds for start-ups by providing freelance services in their own field. This will provide immediate income and help develop new skills. But, it can be difficult to maintain a balance between freelancing and building a start-up, and there is a possibility of diverting attention away from the core business.
10. Awards and competitions
    The grants and competitions will provide funding to start-ups without sacrificing equity and gain industry recognition. Gaining such an opportunity will increase credibility and attract more investors. However, the competition can be fierce, and the application process will require more time and precision.