The fever of start-ups is still soaring high. A lot of aspiring entrepreneurs put in a plenty of sweat to get hold of fund. In fact, Toronto startups are no exception in this run. Getting the proper source of capital is equally taxing and strenuous in this city too.
However, when there’s a will, there has to be a way. To cater to such shortcomings, here are winning hacks to raise money for a startup:
- Sometimes one has to be a winner
Taking part in various startup contests can fetch a handsome amount of money. For example, Jennifer Reich of The Mommy MD Guides won a generous sum for winning the contest named ‘Survival of the Smartest’. So, entrepreneurs can follow up the same trick to have a heavy pocket.
- Hunt for big brands
Having a sturdy and appealing business idea can often attract a good number of industry-leading companies for sponsorship. Recently, Uber initiated a campaign that encouraged new businesses to pitch in their innovative ideas while taking an Uber ride. Hence, keeping eye on big brands can sometimes be the game-changer in case of Toronto startups.
- Have the fair of negotiation
An entrepreneur can opt for a customer or prospect to sell his product/service even before it is launched. He needs to ace the art of negotiation and have gift of the gab to raise money in this way. However, the owner needs to proffer something out-of-the-box to earn this royalty payment.
- University can come to rescue
Yes! People can knock the doors of some estimable universities for further financing of Toronto start-ups. For example, Stanford University provides a $3.6 million grant to non-profit startup accelerators for Stanford-affiliated entrepreneurs. Additionally, the University of Waterloo offers non-equity grant programs for local start-ups with a fund above $400,000.
- Implement pay to work policy
This can be an incredible idea provided the entrepreneur has the same with his business. Often, businessmen in their initial phase seek for donation by providing an impeccable business idea. It definitely helps an organization to cement its position in the future days.
- Bring in the barter system
May sound a bit old school, but definitely brings in a lot of new potentials for a business. People having Toronto startups can utilize this tactic with the third party to get some upfront savings. It is advisable for the business owners to look for a partner not associated with their industry. In this system, both the parties need to benefit either by cash or kind.
- Social media is the king
Ironically, people breathe more in social media platforms than in their internal milieu. So, startups can take the aid of social media to showcase their USP by connecting to the consumers. Bill Gandy during his initial days first took to Facebook to showcase his historic photos before launching the famous Allegheny City Historic Gallery. According to the statistics, Bill raised around $12,000 from his gallery in less than a month.
So, for those who are still contemplating how to raise fund for Toronto startups, consider these tips get started!