Feeling like you keep running into dead ends when it comes to financing your business? Things have been difficult over the past 2 years for most small businesses due to the COVID-19 pandemic, from having to lay off employees to even facing the possibility of shutting down shop with permanent closure.
If you haven’t checked these options out already, here are 5 sources of funding for small businesses that are sure to get you back up on your feet!
Angel investors
An angel investor (or seed investor) is a person who is interested in investing their money in an entrepreneurial business, with a focus on helping the company grow successfully in exchange for ownership equity.
5 Angel Investors For Women-Owned Businesses In the US
With a vision to close the gender and diversity gap in entrepreneurship, Chloe Capital invests in women-owned businesses in the field of technology.
Having invested over 7 million dollars in 90+ companies, Pipeline Angels pushes to create a more inclusive ecosystem for the provision of funding for trans women, cis women, nonbinary, two-spirit, agender and gender-nonconforming individuals.
With a current portfolio of 15 diverse companies led by women and individuals from minority communities, Next Wave Impact focuses on investing in women-owned businesses and providing funding aid to underrepresented entrepreneurs.
Aiming to build a more equitable world with better opportunities for all people, Valor Ventures follows an Inclusion Premium approach that connects women-owned businesses and underrepresented entrepreneurs with quality investors.
A dynamic platform that puts the spotlight on women-owned businesses in America, Women’s Venture Fund places immense importance on the need for women to have access to credit and financial resources in order to run their businesses with ease.
Women’s Venture Fund also offers consulting services for business loan applications, assisting business owners in fully assessing and understanding their needs to bring in successful returns and work towards long-term growth.
Angel Investors For Women-Owned Businesses In Canada
Launched in 2017, Women’s Equity Labs has groups across Canada that provide capital to the businesses they invest in, while also providing new entrepreneurs with a stellar team of women who provide advice and training with the aim of helping these individuals reach their business goals.
Based in Canada with a disciplined approach and an eye on early-stage tech start-ups, Phoenix Fire invests in companies with revenue-generating potential that are led by women entrepreneurs.
Incubation Program
Business incubators are a great help to entrepreneurs by offering them the tools, support and training they need to positions their startups and small businesses for successful growth. These programs present a thriving ecosystem and safe space for networking opportunities as well, with conferences, investor meetings and mentorship programs.
5 Incubation Programs in the US
Venture Capitalists
A great business plan with the promise of long-term growth can give you the option of having a venture capitalist company invest in your business. Along with the perks of the obvious financial benefits, you’re sure to get loads of networking opportunities, industry insights and important learning experiences with this funding option.
Venture Capitalist firms in Canada
The SBA 7(A) Loan – USA
From working capital to purchasing equipment for your business, the SBA 7(A) loan’s extensive array of benefits makes it a popular funding option for small businesses in the United States.
While the standard loan is the most common one, with multiple 7(A) loans to choose from, business owners can pick loans that suit their purpose and goals.
Small Business Financing Program Canada
Small businesses in Canada with gross annual revenues of $10 million or less are eligible for the Canada Small Business Financing Program.
While the loan cannot be used on working capital and inventory, it can be used to finance commercial vehicles, for the purchase of equipment and renovation work.
Bank loans
Getting a startup loan can be a life-saver in getting your company off the ground and running in a relatively short span of time. The Business Development Bank of Canada supports entrepreneurs in a variety of industries by offering a Small Business Loan to eligible Canada-based small businesses.
