5 Tips to Get Financing for Startup Business

Need investors for your new startup or considering borrowing money for you to expand the company? Funding is a primary issue for aspiring business owners, but obtaining financing can be difficult.

One of the essential components that might make the difference between a startup company’s success and failure is funding. And aspiring business owners who understand how to obtain funding are in the ideal starting position.

government scheme

Get Funding from a Government Scheme

Small and medium-sized businesses (SMEs) play a significant role in Malaysia. A 36.6% portion of Malaysia’s GDP came from SMEs. The Malaysian government offers a number of programmes for start-ups and SMEs to choose from in order to support the growth of these SMEs. Government or corporate schemes can offer generous low-interest (or interest-free) financing, grants or mentorship and networking opportunities.

However, there are a number of eligibility standards for each financing programme. Some programmes are exclusively accessible to certain populations or enterprises (such those wishing to improve their digital capabilities) (e.g. if you are a female entrepreneur or a Bumiputera applicant). A grant application may also need to pass through numerous rounds of examination because some awards are competitive.

For a list of government and corporate grants and schemes, you can check from SME Corp. Malaysia, MaGIC, and MDEC.


angel investors

Angel Investor

High-net-worth individuals who invest as angels are sometimes referred to as private investors, seed investors, or angel funders. In exchange for shares in the company, they support small businesses or entrepreneurs financially. To assist finance your firm, you can also turn to venture capitalists or angel investors.

Individual investors known as “angel investors” are frequently involved in your company directly and can offer suggestions to help it expand successfully. When you first start out, this is very beneficial, but it also involves letting go of some control over your business. Angel investors have connections and are always growing their networks as they look for new ways to raise money and boost ROI. The angel investors will share their plans and financial results as a sign of appreciation if your business is successful in generating their targeted returns.

venture capital

Venture Capital

The venture capital firms that invest money in enterprises employ venture capitalists. They can be useful if you’re attempting to expand your business swiftly because of their often big investments. To get a return on their investment, venture capitalists typically require stock, so you could have to give up some of your company’s ownership. Venture capital companies are mainly to help the invested companies to obtain greater profits, not investment companies.

Be ready to speak with hundreds of venture capitalists worldwide. You should also start hunting for money when you don’t need it, allowing yourself at least a six-month grace period. Investors will take advantage of you if you don’t. Before they even get inside the room, they can smell a founder who is in desperate need of cash! You should also think about an initial public offering (IPO), which will give you more liquidity, when the moment is perfect.



Crowdfunding is the usage of modest sums of money from a large number of people’s “donations or investments.” This is the most effective method for financing new business ventures. In the past, business owners could only rely on bank loans, loans from family and friends or angel or risk investors.

Crowdfunding is funded by individual investor income. The investors are making an investment in your company, much like they would make one in a potential stock. By extending the pool of investors outside the conventional circle, crowdfunding enables business owners and nonprofit organisations to finance their operations.

The first ASEAN nation to establish legislation for crowdfunding was Malaysia. The Securities Commission Malaysia (SC Malaysia) and Bank Negara Malaysia (the nation’s central bank) both oversee crowdfunding in Malaysia. Because of this, crowdsourcing platforms like Crowdo and Crowdplus are proliferating in Malaysia. Besides that, Malaysia has 10 regulated and well-known ECF platforms including Ata Plus, Crowdo, FundedByMe, Fundnel,PitchIN, LEET Capital, Ethis, MyStartr.


WhyQ KiraKira

WhyQ KiraKira is a reliable, hassle-free and useful solution for micro and small and medium entrepreneurs (SMEs) to manage their company accounting effectively. They are providing a solution that is simple, unfailing, and simple enough for someone who is not versed in accounting terms to use. In Malaysia, it has assisted more than 20,000 enterprises. It includes a wide variety of goods and services, including food stands, mini-marts, electronics, clothing, health and beauty items, tutoring, and much more.

Not only it is 100% free, safe and easy to use, it is the Number 1 Bookkeeping solution for SMEs. It’s the simplest way to keep track of your daily Invoices, Expenses and Debt. The amazing news is, it also offers microloan. They work with the best lending partners in the market to get you the best loan rate. Simply click the button Loan within the app, their representative will contact you and enquire on necessary documents, submit documents and wait for the application outcome within a few days. Download app to apply the microloan now!

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Your choice of financing may depend on your financial demands, your eligibility, and any potential drawbacks you’re ready to accept. But with so many funding sources available, it’s never been simpler for aspiring business owners to launch their venture.