Financing Options For Startups

I got a bunch of great suggestions in my kickoff post on this topic last week. Based on that feedback, the series is going to look like this:

1. Friends and Family

2. Contests/Prizes/Accelerator Programs

3. Government Grants

4. Customer Financing

5. Vendor Financing

6. Convertible Debt

7. Preferred Stock

8. Venture Debt

9. Capital Equipment Loans & Leases

10. Bridge Loans

11. Working Capital Financing

This list is roughly in chronological order of how a small company might avail itself of the various financing options, but there are always exceptions. Starting a company is more art than science.

I want to do each financing option as its own dedicated post so I’m not going to start today. I will start next week with friends and family.

If you are looking for some meaty MBA Monday reading this week, I point you to Brad Feld and Jason Mendelson’s awesome venture capital term sheet series, which is required reading for anyone seeking to raise venture capital.