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What are Some Startup Funding Sources for Founders?

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(@foundersrating)
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Funding is one of the biggest challenges early-stage founders face but today, there are more options than ever. From traditional venture capital to creative alternatives like revenue-based financing and grants, founders are finding new ways to raise capital without losing too much equity. 

What funding sources have you found most helpful for your startup?
Have you tried bootstrapping, angel investors, accelerators, or crowdfunding?
Any tips for getting that first check or connecting with the right investors?

Here are a few popular funding routes to kick things off:

  • Angel Investors: Great for early-stage startups with a strong founding team.
  • Venture Capital Firms: Ideal for scalable startups with proven traction.
  • Accelerators & Incubators: Offer capital, mentorship, and connections.
  • Government Grants: Especially helpful for Canadian or EU founders.
  • Crowdfunding Platforms: Turn your audience into investors or early supporters.
  • Revenue-Based Financing: Raise money without giving up equity.

What’s worked best for you or what are you planning to try next?


1 Reply
Eric Rafat
Posts: 2
(@foundereric)
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Joined: 2 years ago

If you're bootstrapping, you gotta make sure something comes into your account! This can be done via ideally something you love to do. Either part-time job, consulting, or monetizing that hobby! You gotta keep your self afloat. As once I heard at a conference, the first job of an entrepreneur is not to die. 

In terms of funding, always be sure to explore non-dilutive funding. One of the best resources would be startup competitions. Many of these offer funding and some exposure. Check out the complete list of startup competitions here. 

Accelerators and incubators some times can be challenging as you have to go through their program, which sometimes may take away time from customers. However, some programs can still be really valuable for founders. 

 

Here are some more non-dilutive funding options: 

1. The Scientific Research and Experimental Development (SR&ED) program is a Canadian federal tax incentive designed to encourage businesses to conduct research and development (R&D) in Canada. 
2. Ontario Innovation Tax Credit (OITC)
3. Canada-Ontario Job Grant 
4. SmartStart Seed Fund 
5. Ontario Centres of Innovation (OCI) Programs

There's definitely more funding opportunities you just have to stay in the loop. Check out the startup funding list here.


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