5 Feasible Ways to Raise Funds for Innovative Agri startup

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Earlier, when thinking about starting a business, the major stumble stone that hinder our mind from taking first step for our dream is the requirement of huge capital. Those days, gathering capital to start one's own business was like a tough nut to crack. Business aspirants were majorly dependent on banks for loans & even bore the risk of pawning their property. But now a days, there exists an immense opportunity of making your entrepreneurial dream come true by various means of startup fundings. Not risking your own property, not wandering to banks seeking loan, but you can get assured fund for your startup just by pitching your innovative idea. You've heard it right? 

So, in this article, we're going to explore "5 Feasible Means to Raise Funds for your Innovative Agri startup"

1. Crowd Funding


The first and foremost source of raising funds for your agri startup comes from the crowdfunding. Crowdfunding is a method of raising capital through the integrative effort of friends, family, customers & individual investors. 

Conventionally, entrepreneurs spend months filtering through their personal networks, seeking for potential investors & spending their own time and money to get in front of them. With the evolution of crowdfunding, it’s much easier for entrepreneurs to pitch their idea to the interested parties who aid you to grow your business, from investing thousands to lakhs. In India, online web portals for crowdfunding are available: Indiegogo, Ketto, Milaap, GoCrowdera, Catapooolt, FundRazr, Kickstarter, GoFundMe, Fuel A Dream, and Impact Guru.

2. Venture Capitalists

                                               


Next comes the Venture capitalist. Venture capitalist is the one who funds for startups and small businesses that are usually highly risky, but equally have the potential for exponential growth.

Seeking for a venture capitalist is indeed a great option for startups which are looking to scale big as well as quickly. Venture capitalists engage in long-term partnerships, aligning their success with the startups. Venture capitalists often avoid investing in a startup’s initial or later stages when the competition is high. Indeed, venture capitalists contribute capital and strategic guidance for business development.

3. Angel Investors

                                       

One of the boon for budding entrepreneurs looking to gather vast fund for their dream startup is from Angel investors. Angel investors are typically high net worth individuals who look to put money into startups. The popular Angel Investors in India are Ratan Tata, Kunal Shah and Sanjay Mehta.

Angel investors are one of the more accessible forms of early-stage capital providers for an entrepreneur and as such are a critical part of the equity fundraising ecosystem.  Angels also tend to have subject matter expertise in a particular area, often where they have made money before. This helps the budding entrepreneur in a lot huge ways. 

Angel investors do not make charity investments because an entrepreneur feels their idea is really important to the world. They make investments to make a healthy return on their investment.

Angel investor networks are really useful to entrepreneurs because they tend to have a more formalized process for reviewing new submissions and can also introduce the entrepreneur to a lot of new angels at once.

However, the major risk in getting funds from angel investors is that they plan to get higher returns as a profit. So, make sure to research and validate your idea thoroughly. It must have innovative aspects and the space for profitability.

4. Strategic Partnerships


Strategic partnerships offer a multitude of benefits for startups, ranging from increased reach to enhanced expertise. By collaborating with a partner, startups can expand their customer base, access new markets, and kickstart their reputation. Leveraging the audience of a partner provides a shortcut to the market, helping startups gain visibility and credibility.

5. Participating in Hackathons & Winning Grants


Business hackathons are cross-functional events that bring together people from different business verticals to brainstorm and solve a challenge, create a product prototype or conduct a case study. Business hackathons are known to be the shortest route to innovation. Winning such opportunities enhances credibility and attracts further investment. Nonetheless, the competition can be fierce, and the application process demands time and precision. However, if your idea is great enough to beat the competition in existing market, well you can certainly win the competition & get grants for your startup!

Hope you're now familiar with the fascinating sources available these days to raise funds for your startup. If you've an unique idea, then probably work with it to transform into a reality. Believe that, "When you want something, then the universe conspires to help you achieve it"

"INNOVATION EQUALS INVESTMENT"

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