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10 Creative Ways to Get Your Business Funded

Starting a business is never easy, yet, very manageable if you make the right decisions from the very beginning. You have your business strategy laid out but you do not have the required capital to start-up your plans. You would like to avoid borrowing your initial fund from banks and other loaning establishments as collaterals and interest rates are risky parts of every business ventures. So, what can you do? Believe it or not, there are various ways to creatively source funds for your business. You just have to know where to look. Here are some examples:

Personal financing

One of the simplest means of earning money for your own venture is to be able to save up for it from the very beginning. Think about this, your savings, your own capital, and no borrowed amount from anyone, means no debt and no one to owe money to, especially as all of the funds used for your business came from you. As the saying goes, “if you want something done right, you have to do it yourself.”


The great thing about the internet is it brings people together in order to fulfill a good purpose, one of which is business funding, or what we now call as Crowdfunding. Crowdfunding websites have been on the rise these past few years. This is a way to get people to invest in your cause in exchange for something else, aside from money. Popular sites that facilitate crowdfunding include IndieGoGo and Kickstarter. These are websites for people who wish to showcase their business ideas, and in turn receive financial backing from around the world to start up those ideas into an actual venture. However, it’s important to note that crowdfunding is very emotional and the success of your crowdfunding effort is based on how your business idea appeals to people.

Friends and Family Loans

One way to obtain money for starting your business would be to borrow from your family and friends. Unlike banks and other funding organizations, they would be more forgiving when it comes to deadlines. Of course, never forget to pay your interest (and on time) as to not risk any family relationship or friendship over money. This would also avoid any unlikely sense of gratitude that may occur once your venture succeeds.

Peer-to-peer lending

Peer-to-peer lending is a process in which a group of people comes together to lend money to one another. It’s been practiced for years, in examples like small business groups or ethnic groups supporting similar efforts. In a similar case, look for a successful entrepreneur peer willing to fund new ideas, showcase what you’ve got and convince the financier that their money wouldn’t go to waste. The downside of peer-to-peer loans is that they are not easy to get and the interest rates can go very high.

Get help from Angel Investors

Angel Investors are a group of people or organizations who are always on the lookout for new and bright business ideas. They would invest on your business, given that once it becomes successful, they receive a share of your profits. One such company that was funded by angel investors was Google, which started out from scratch and is now a multinational company with a net worth amounting hundreds of billions.

Venture Capitalists

Similar to angel investors, Venture Capitalists would require a share of your profits once your business becomes a huge success. However, unlike angel investors, they would prefer to have some control in how the company is handled, as they are looking to ensure profit on their investments as well. This would be most applicable if you wouldn’t mind having an extra hand or consultant in your business.

Inventory Financing

This method is solely for those who are looking to try out the retail business. The lender would provide you with funds so you may purchase items which would be sold by your business, like groceries or the local second-hand clothes stalls famously known as “ukay-ukay.” Take note that this method strictly entitles the lender to only provide funds for a retail type of business.

Vendor financing

Simply put, if you need products for your inventory, many manufacturers and distributors may be convinced (after further proposals and negotiations) to put off your payment until you sell the goods. This really means an extension of the normal 30-day payment terms to a period of months or longer, depending on your credit worthiness and extra fees.

Credit Card Stacking

This method would allow you to use different credit cards with total credit limits that match the amount of financing that you would need for your business. It may seem like a fairly inexpensive way of gaining your capital. However, there is a reason why this method is also said to be “unsecured.” With the negativities tied to credit cards, some lenders would allow you to do this for free. Take strong caution in undergoing this procedure to avoid any possible debt problems in the future.


If you’re going to get creative about your business fund, why not go all the way with a service that would rightly look out for you and your venture? Cebuana Lhuiller’s Lucky Loans is a multi-purpose loan offered to registered entities such as tricycle operators, credit cooperatives and other groups, as well as SMEs such as restaurant and mini groceries, among other businesses. This loan would only require business permits, proof of billing, and proof of income as preliminary documents for your loan application, and then you’re on your way in undertaking a fruitful venture.

Visit your nearest Cebuana Lhuillier branch now to know more – we assure a fast, easy and secure transaction!

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