How can one fund a new business?

You can fund a new business from a variety of sources including savings, equity, loans, investors, or partnerships.

You can fund from a variety of different sources. They do it from their own revenues; perhaps money they've saved; money that they get from family and friends. This is where a partnership might come into play, and also SBA has a guaranteed loan program where we work closely with lenders throughout the United States who have a special interest in supporting small businesses. So there is financial assistance through loans, and in fact that's how many people capitalize. There is also inventory capital, which is another area where people have an idea and they get venture capital to invest in their endeavor in exchange for a share or a stay in the company.

Written by Ellen Thrasher -
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