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How can a Small Company Raise Money for the Expansion of their Business in India?

Published by
Sandeep Sharma

Over the years, several small companies have come up in India. With the advent of the internet, business models have changed. This has ultimately led to the birth of many companies, which are small in size though. If you are one of them who is running a small company in India but wants to raise money for the expansion of your venture, then the points mentioned below will be helpful for you. Several ways that a small company can raise money for expanding its business in India as mentioned below:-

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6 Ways to Raise Funds for Scaling Your Business in India

  1. Bootstrapping
  2. Crowdfunding
  3. Bank Loans
  4. Venture Capital
  5. Angel Investors
  6. Government Schemes

1. Bootstrapping

The first option for a small company would be to bootstrap, which means self-funding the business. This can be done by reinvesting profits, borrowing from friends and family, or using personal savings.

2. Crowdfunding

Crowdfunding platforms like Kickstarter, Indiegogo, and Ketto can help small companies raise funds by pitching their business idea to a large number of people who are willing to contribute small amounts of money.

3. Bank Loans

Small companies can approach banks for loans to fund their business expansion. However, the approval of bank loans depends on the creditworthiness of the company and its ability to repay the loan.

4. Venture Capital

Small companies can also raise money from venture capitalists who are interested in investing in promising businesses. Venture capitalists invest in a company in exchange for a share of ownership and a percentage of the profits.

5. Angel Investors

Angel investors are high-net-worth individuals who invest in startups and small businesses. In India, several angel investor networks such as Indian Angel Network, Mumbai Angels, and Hyderabad Angels can help small businesses raise funds.

6. Government Schemes

The Government of India offers several schemes and programs to support small businesses. Companies can explore these schemes to see if they are eligible for funding.

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It is important for small businesses to thoroughly research each funding option and choose the one that is best suited to their specific needs and goals.

As you run a small business, one of the suggestions for you to proceed with is choosing to start working at a co-working space. There are several co-working spaces in Delhi, Gurgaon and Noida you can choose one from them. One of the best among them is The Office Pass (TOP)

. From the office infrastructure to the vibrant and lively cafeteria, you will get all the required amenities that you need. To find your space in The Office Pass, you can contact us at 08999 828282.

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Sandeep Sharma

Sandeep Sharma is a seasoned entrepreneur and thought leader in the coworking industry. With over a decade of experience, he has played a pivotal role in shaping the evolution of collaborative workspaces globally.

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