Overall, the investment in two forms: the guilt and justice. They are to blame, if you take money, with a lender and interest on this investment. They are obliged to repay the money with interest over time. Or take a capital - in which a part of the company to an investor in exchange for money or other valuables.

Each source has its advantages and disadvantages. Check before the decision on the financing of the decisions are difficult to defeat. It is not enough to find, lenders and investors must use the right ones. Try to investors, the more money on the table. Search fans who can help you with financial advice, technical support, or you can deal with the main customers. Order capital of a patient, wise, you can listen to their problems for breakfast and direct fixing the date on which it is in office.

And make sure, investors whose interests are compatible with theirs. Of course, none of the payment is based on the success of the company, but be assured that clear objectives and what (and when) that this definition applies. If you have friends or relatives, for example, make sure that they do not invest the money must be repaid within a few months. And clearly, with others what their long-term goals. You do not want to be surprised to be avoided if the investors a fast growth, or other decisions, with their vision, not yet reconciles with her.

Fundraising should be an extension of the circle, “says Scott Shaw, founder of the Austin Grill, the success of Tex-Mex restaurant in Washington, DC. He said, ready to start with a small group of investors who can help directly. Then, gradually build this platform, the search for a larger number of persons to be present at the meeting and will probably be a formal relationship. Shaw also recommended that “stops the capital markets.” May you try to say something of yours. If you have difficulty to collect capital, May, a very good reason. If you go capital - and advice - May those who have more experience, is a good idea to hear, you know, May something what we do not.

Easy loans

So what are your options of capital? Let us start with simple. Its capital is most likely a loan of. Most companies are using money from the founder. Of course, there are advantages here pure and simple control of property. You have the society as a whole, the control of the spectacle, and to collect the benefits for your company is precious. Great.

But there is a huge potential for a deterioration here. Even the better documented and well-managed company in danger. And you put their assets on the line. It is good to read to the risks pull second mortgages on their homes and take their pension funds from companies that can make millionaires. There are far fewer of them in the media about the many people who are high risk - and no. And unfortunately, these stories are good and it is actually very common. So, although I think you must have confidence in themselves, and take the leap, make sure to check (and see you again!) The risk to your company with care when they exercise their own money.

It is the wildest stories of people, in turn, credit cards for start-up capital. Sure, our economy of credit, credit cards are a simple way to make quick cash, of which many employers use - especially if they are in low interest rates. But if high and no other medium its low on the list of sources.