Access to capital is one of the most important factor to a company’s growth. However, ever since the global financial crisis, it has become increasingly difficult for small business owners to get funding using traditional financing approach. This led to the birth of alternative financing, which guides you to access capital through non-traditional sources, mostly by emphasizing connecting fundraisers directly with funders.
Here are the major categories of alternative financing:
- Peer-To-Peer(P2P) Business Lending
- Donation-Based Crowdfunding
- Invoice Trading
- Peer-To-Peer(P2P) Consumer Lending
- Community Shares
- Equity-Based Crowdfunding
- Reward-Based Crowdfunding
- Pension-Led Funding
- Debt-Based Securities
Alternative financing can help business owners to gain access to capital and retain the freedom and flexibility to grow their own businesses. However, while Alternative financing has the potential to solve the financing problem for small business owners, the associated risks should not be ignored. LDJ Capital has extensive experience in the alternative financing field. We will help small business owners navigate through the alternative finance landscape to find the solution that suits best with the profile of your business.
Crowdfunding is one of the most prevalent alternative financing tools. Our chairman, David Drake, has particular expertise in the crowdfunding space. He is the co-author of the books Planet Entrepreneur and Crowdfunding and Other Animals and is also the author of the upcoming books The Crowdfunding Economy and LIFEE: Life Instructions for Entrepreneurs and Executives.