According to a recent study, over 94% of new businesses fail during first year of operation. Lack of funding turns to be one of the common reasons. Money is the bloodline of any business.This money can come from many different sources. It is often not possible to get bank loans because banks aren't interested in unproven businesses. The financial needs of a business will vary according to the type and size of the business. Debt and equity are the two major sources of financing. Different types of finance work in different ways and there are benefits to using the most appropriate source of finance. The more effort you put into understanding the basics of financing, the more likely it is that you'll secure a finance package that balances your short-term needs with the long-term growth potential of your business.
Read more: http://www.smallbizdaily.com/top-sources-business-startup-financing/
