Other forms of Funding

There are plenty of more abstract forms of
business funding. Crowdfunding is a form of funding based upon people and donations. There are plenty of platforms across the web that provide crowdfunding services, although this is  largely a popularity and marketing based form of funding. The most popular crowdfunding platform is GoFundMe. Of course, this isn't the only platform, or method of increasing working capital through publicity. Social Media can also be used as a great platform to promote donations to your cause.

Investment is another abstract form of business funding. This can work in multiple ways, such as an Angel Investor, or a Venture Capitalist. These essentially work to inject funds into your business in exchange for shares or a percentage of profits. Some investors will have an active role in the business, where others are known as 'silent', allowing you to run the business as you always have.

Alternative Business Funding for Small Businesses

Funding for Start-ups can be available in a few different offers. Start-up loans are a funding solution to help new businesses begin trading. Traditional business loans can be difficult to acquire within the first 6 months of trading, as most lenders ask for a high turnover, or 12 months successful trading history. If you haven’t yet achieved this level, a new starter loan may be your best option. These loans are unsecured, so no assets will be held under the product, although a Personal Guarantee will be taken, making you personally liable for repaying the full loan amount plus the agreed interest amount.

Companies with a turnover of under £6.5 million classify as a small business, but the average turnover of businesses across the UK is around £505,000. There are thousands of small businesses in the UK, and all of which have access to funding. The most common products for small businesses are Invoice Finance, and Business Loans. These can both be put in place to boost your working capital, and cash flow.