Word writing text Fundraising. Business concept for seeking to generate financial support for charity or cause White pc keyboard with empty note paper above white background key copy space.On the popular cable show “Shark Tank” entrepreneurs pitch their businesses to a group of successful investors in the hope of gaining additional business funding in exchange for a stake in the company. The expectation is that a well-known partner will bring in expertise, contacts and capital to help the enterprise excel. Cash is the lifeblood of any business, especially one that is just getting off the ground.

You may have a great new product or service and a detailed business plan, but it takes money to make it a reality. Often lots of money. Finding it can be a challenge. Here are some tips when it comes to obtaining needed funding for your business:

  • Crowdfunding. This type of fundraising consists of many investors contributing small and moderate amounts of money for business operations. These can be friends, family or other supporters. There are numerous internet sites that enable individuals to easily set up crowdfunding accounts.
  • Venture capital. Well-off investors and large banks are always looking to support new enterprises that they believe have long-term viability or exceptional growth potential. Venture capitalists typically look at promising startups and small businesses that have shown rapid expansion. Pieces of the company are transferred to the capitalists often as limited partnerships in exchange for funding.
  • Personal funds. Many entrepreneurs have exhausted personal funds, maxed out credit cards and, even, put up their property to get their businesses started.
  • Banks. Banks are in the business of lending money. Check with your lender to see what options for business funding are available.

Regardless of the options for fundraising, it’s important to have an attorney advise you during the process. Important business decisions need to be made and you must understand all the terms and conditions.