This is not easy. Since many people starting their own business want to make their own decisions, this may not be realistic. Incorporating the business and selling stock is also a way of raising equity capital. Again, this may not be acceptable to the owner, since it means giving up some control of the business. Legal and tax questions also must be considered.
Venture capital is sometimes available from companies.
This money is usually not easy to come by. It does come with some strings attached. The most common arrangement is for the venture capital company to give money in exchange for a share in the new company in the form of stock. A form of venture capital is also available from small business investment companies. These companies, licensed and regulated by the federal government, are eligible for federal loans which may be invested along with their own money.