At every stage - We need capital to run our business successfully. Whether it’s a start-up or an existing private limited company, the owner keeps an eye on various options to raise the funds for their business. Here we will explore a little bit about the four main ways to get money from the market if you run a private limited company. 

●    Venture capital

These days, Venture capital is very popular, where VC firms make the financial investment in small-scale businesses which have great potential to grow in the future. Basically, these firms possess a huge network of investors & good market value by which they gather money from different sources/institutions such as banks, insurance companies, or often from institutional investors. Venture capital firm also provides a lot of support apart from arranging money for startups. They offer informative advice in regards to market trends, customers, products as well employees.

●    Private placement

Private placement is another one of the finest ways to raise funds for a Company. In fact, it means “any offer of securities to a group of persons by the company instead of through a public offer”.

●    Banks and Bonds

When a firm has a proven track record of earning revenues and has great potential to earn better profit in the future then it’s good to choose the bank/bonds. The firm can make borrowing money from banks on their terms and conditions.  It works for both startups and existing Pvt. Ltd. companies.

Hopefully, this short article can draw a subtle picture in your mind about “how to raise capital for your firm”.