"Venture Capital and Grants - Is It Right For Your Business?"If you have recently started a business or need money to expand, it is likely you’ve heard  about raising monies through venture capital and grants. If that is the case, there are several funding options including many venture capital firms that you can find through online programs, as well as by asking your colleagues,  family and friends.

In fact, you have done your research, written the your business proposal and are about to submit your proposal. While it may seem the perfect financing opportunity for you and your business,  it is important that you make sure that it applies to your type of business for the funding you are seeking.

You will need to know the firms investment criteria, and if your proposed business does not fall within their specifications, then chances are your proposal will not be approved. Because of the sheer number of proposals that investors receive, screening of these proposals is tedious and strict. There are guidelines each investor uses to choose whom to fund.  After all, they too have limited capital to invest. Because of the stiff competition, you must be sure that your business proposal stands out among the others.

These firms concentrate on specific fields, so if it does not fall under these industries, then VC is not right for your business. Today many venture capitalists are looking for the latest and greatest to invest their money, and a high percentage choose to fund technology-related industries, those which can give a high yield of profits after a short period of time.

The fact is venture capitalist and are looking to invest in industries that will give them a great yield for a short-term investment.

The good news is that most venture capitalists lend the money or become “partners” with a company and let the principles run the day to day operations. While they may have a say in the direction a business is likely to take, they typically do not  want to control the company. The business owner still calls the shots, by providing the directions and strategies necessary to carry out the business.

If venture capital is not for you, then there are other funding sources available. There are angel investors – individuals who also provide funds for start-up companies. This is ideal if the capital that you require is not that large. You can also secure bank loans. The main disadvantage of this type of funding source is the liability of repaying the loan regardless of your success or failure.

Other funding sources can include investment programs provided by the government such as the Small Business Investment Company Program. In addition, there are also other federal, state or local programs that you can enroll in. And then there are the ever-reliable family and friends who can lend you some money for capital.

Venture capital and grants are not impossible to attract. As long as you know how and where to find these financing firms, there is the opportunity for you to raise venture capital. Here are a few sources to get you started: ProFounder , Endurance Lending Network, Grow Venture Community MicroVentures Angel List  and Circle Up .

But before you start working on the financial aspect of the company that you wish to establish, you must first consider if venture capital is right for your business.  Have a back-up-plan with a variety of other sources so that if venture capital is not the right path to funding, you will be ready to move forward. Best of luck with your funding!

Here are some additional funding sources to checkout:

Lendio.com helps you find a loan for your small business

New USA Funding (large database of funding options available for only $29.95)

GrantsforWomen.org has an alphabetical listing of 2014 Grants and Scholarships For Women

Free federal grants for women enable women to buy a new house,  complete their education, start or run a business and other general and specific needs.

Federal small business grants for women  cover the most important part of starting a business and that is the business capital.

Also be sure and check out CROWDFUNDING options for your business funding needs such as Indiegogo , 33needs.com, Chipin , Kickstarter  and Fundable .