Funds from relatives, friends

In case the amount needed by the organization will be relatively less, the owner or founder may approach their friends, family members and relatives for the funds, promising to repay the funds later or giving these members a stake in the business or organization.

In other cases, these organizations will approach angel investors or venture capitalists, and high networth individuals who may want to invest in startups for getting a better returns on their investment, compared to conventional investment options where returns are usually lower