Every starting business needs working capital to launch. The same applies to a business that seeks to expand its operations and increase revenue. For this reason, finding small business funding sources becomes paramount. While banks and other conventional funding sources can serve your interests, some circumstances might push you to look for private funding. Here are the private financing options to consider.

Private Equity Funding

Private equity funding should be an option if you don’t want to block liability as a startup. You maintain your cash flow through private equity funding while meeting your business’s financial needs. As a private funding option, growing your business becomes easier as you enjoy a flexible financing platform.

Angel Investing

You can look for individuals with the financial capabilities to fund your business for equity. These individuals with the financing means are angel investors. They assess your business plan and potential and decide on funding your operations. The angel investors can be one or a group of individuals interested in funding your operations. While the funding is private, they might take control of some aspects of business operations.

Family and Friends

You can get private funding from family and friends as a gift, loan, or in exchange for a future favor. You should, however, be careful and certain with the family or friends you ask for financial help. The chances of being disappointed are still higher. While you can meet your financial objectives, failure for the business to pick up can cause conflicts and strife among family members or friends.


You can create or sign up on crowdfunding websites to raise the funds needed for your business. You should, however, pitch your business ideas and wait for responses from potential contributors. As a private source of funding, crowdfunding makes it easy to meet your financial objectives. You also get to test your business ideas and find ways to make the venture competitive and productive.

Personal Investment

If you want to avoid debt that might compromise your business in the future, using your savings to fund a venture is an option. You should, however, understand that using personal savings to fund your business is not sustainable. While it can serve as a private funding source, look for other business financing options to complement your efforts.

Exploring your business funding sources to start or keep your small business operations active is important. It is crucial to both conventional and private funding sources for your business. Call or visit Jasema Capital today for further guidance.