ENTREPRENEURIAL FINANCE
SOURCES OF FUNDING
Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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Personal savings
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Venture capital
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Trade credit
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Crowd funding
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Detailed explanation-1: -Crowdfunding is the use of small amounts of capital from a large number of individuals to finance a new business venture. Depending on the type of crowdfunding, investors either donate money altruistically or get rewards such as equity in the company that raised the money.
Detailed explanation-2: -Crowdfunding is a way of raising money to finance projects and businesses. It enables fundraisers to collect money from a large number of people via online platforms. Crowdfunding is most often used by startup companies or growing businesses as a way of accessing alternative funds.
Detailed explanation-3: -Crowdfunding involves collecting money from a group of donors in an effort to raise capital. Crowdfunding sources can include those who have an interest in your business: friends, family members, investment groups and personal investors.
Detailed explanation-4: -There are four main types of crowdfunding, including donation, reward, equity, and debt crowdfunding options.