Eight of the latest [and greatest] online tools to raise money for your business

Raising financing for your small business (or business idea) can be a daunting task. While there are numerous avenues for raising money, it is hard to know which one is best for your business and how to get your foot in the door with lending groups. Adding to the challenge, new banking regulations making it harder and harder to be approved for a standard business loan, which presents the need for some alternative business financing solutions.
Finding funding shouldn’t feel like looking for a needle in a haystack, and these online tools are designed to make it easier to get your business idea into the hands of potential lenders. So next time you are in the need of small business financing, keep these in mind.
Prosper.com
Type of funding: peer-to-peer
The leading peer-to-peer online funding platform, Prosper.com makes it easy for business owners to post their loan and purpose of the loan for investors to review and invest. Boasting more than 1,600,000 members and over $443,000,000 in funded loans, Prosper does a great job at cutting out the middleman in the business financing process. Everything happens on the site; borrowers make their fixed monthly payments on Prosper after the loan is made and lenders get paid back through the site.
Kickstarter.com
Type of funding: crowdfunding
If you are in the creative business and need some quick cash, Kickstarter.com may be the solution you’re looking for. As a crowdfunding site for Art, Comics, Dance, Design, Fashion, Film, Food, Games, Music, Photography, Publishing, Technology, and Theater projects, Kickstarter allows people to post information about the project they are working on (can be a business-related project) on their site to be found by “backers” who can “pledge” any desired amount to support that project.
Gust.com
Type of funding: angel investment/venture capital
Gust.com is set up for the simple purpose of connecting entrepreneurs with angel investors and venture capitalists so that they can collaborate and raise funds. The site claims 40,000 individual accredited investors, 1,000 investors groups, and has been used by over 160,000 startup companies. It’s super simple to create a professional profile that details your business plans and share with investors who are interested in funding businesses. A great resource for startups, the site even offers tips and insights from investors.
Kiva.org
Type of funding: microfinance
Kiva.com got it’s start as a microfinance platform with a mission to make loans available to people in underdeveloped contries who don’t have access to banks. Though it mainly targets people in developing countries, it does allow microloans to be made to US businesses located in underserved communities most affected by the economic downturn. Kiva’s 871,289 lenders have loaned $390,730,300 to date.
Indiegogo.com
Type of funding: crowdfunding
Indiegogo.com is another crowdfunding platform, but this one can be used to fund any kind of project – it doesn’t have to be a creative project like on Kickstarter. Everyone from businesses to entrepreneurs with the “next big thing” can post their ideas in a profile designed to attract supporters who donate money to fund the venture. Global exposure ensures that your idea will be seen and social media sharing options make it easy to spread the word.
Startups.co
Type of funding: angel investment/venture capital
As a business funding “matchmaker” site, Startups.co specializes in matching business funding needs to an investor within their network. With the ability to search investors and contact directly about your funding needs, Startups makes it easy to get connected to the people who will be interested in your financing need. The site contains a host of other tools that help you understand how fundraising works, prepare for fundraising, and craft the perfect pitch to attract the right investors.
Fuelyourventure.com
Type of funding: incubator (directory)
Incubators can be a powerful resource when you’re trying to get your business off the ground. Many offer entrepreneurial training courses and one-on-one mentorship with successful entrepreneurs, as well as a space to work and collaborate in the beginning. Fuelyourventure.com has put together a solid directory of incubators located around the contry that serves as an excellent starting point to find one in your neighborhood.
Conference.launch.co
Type of funding: business plan competition/angel investment
For 6 years in a row, Launch Festival has been the go-to place to meet angel investors and take a stab at being the winning business and get funded. Not only is this a great place to rub shoulders with those who have money and want to invest it, Launch Festival is also ideal for testing ideas, gaining valuable feedback about your business or product, and getting answers to your business questions.
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