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Six Unique Ways of Funding Your Business

You want to start your own business, however, you would also like to avoid borrowing your initial fund from banks and other loaning establishments (either due to strict policies or requirements). After all, collaterals and interest rates are a risky part of every start up business ventures. No need to worry;  we listed down a few alternative ways to fund your own venture, may it be a small scale business or a large scale manufacturing unit. These may seem unusual at first, but take note that they are proven and tested to have been the providers of some of today’s successful business structures:

Angel Investors

They are usually 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, who started out from scratch and is now a multinational company with a net worth amounting hundreds of billions. Take note that angel investors and any related transactions must be registered with the Securities and Exchange Commission (SEC).

Venture Capitalists

They are very similar to angel investors, requiring a share of your profits once your business becomes a huge success, however, there is a notable difference that you should watch out for as well. Unlike angel investors (who would step aside once you are given the start-up amount), Venture Capitalists 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.


The advent of technology enabled everyone’s voices to be heard. We have social media that enabled us to speak out our minds, and in turn, receive reaction on those thoughts, may they be positive or negative. Crowdfunding websites have also been on the rise. 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.

Credit Card Stacking

Also known as “unsecured business credit lines,” this method allows you to use different credit cards which has a total credit limit that matches 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 deemed “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.

Inventory Financing

This method is perfect 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 at your business, much like groceries or the local second-hand clothe 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, other options of entrepreneurial ventures are out of the question.

Friends and Family Loans

When all else fails and you are already out of options, 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 rock any family relationship or friendship over money. This would also avoid any unlikely sense of gratitude that may occur once your business becomes a success.

With all of those unique ways in mind, you are motivated to push through with your business plan and finally decide to venture out. However, you are still looking for a much convenient and hassle-free procedure to acquire your initial capital. Well worry no more, as we at Cebuana Lhuillier offer Lucky Loans, a multi-purpose loan offered to SMEs such as restaurant and mini groceries, among other businesses.   So what are you waiting for? Visit your nearest Cebuana Lhuillier branch now – we assure a fast, easy, and secure transaction.