This week’s Entrepreneurship 101 lecture launched our final module on raising money. Entrepreneurs learn various financing methods available to startups and how to prepare an effective investor pitch.
Getting venture capitalists to invest in your startup can be challenging.
Luckily, Wednesday’s lecture was on the topic of alternative sources of funding. In his talk, Jon Worren, a serial entrepreneur and advisor with more than 20 years of experience in developing growth strategies, filled us in on methods of raising capital outside of venture capital.
He covered the following topics:
- Grants and loans: Did you know that there are over 4,500 funding programs in Canada with $26 billion in grant money?
- Supplier funding: Some suppliers are willing to wait to get paid and will even share some of the risks of your business.
- Customers: Some customers are willing to pay in advance for the development of your business.
- Crowdfunding: If the incentives are right, a large group of random people may be willing to fund your startup.
Jon also explained why cash is king, rather than profits, and shared strategies for reaching your funding goals.
- Bootstrapping – stretch funding for startups and other ventures
- What financing approach is right for your business
Adam Kagan is the co-founder of EMRG, a Toronto startup that connects entrepreneurs with creative talents to bring their ideas to life. He co-created and chaired a series of events for entrepreneurs called “The Idea Hub,” which featured interactive exercises and talks by top Toronto entrepreneurs. He excels at synthesizing knowledge from different areas in business, and bridging the gap between creative and technical minds. See more…