This is an article by Avinash Nair. He is a digital marketer at E2M, India’s premium content marketing agency. He specializes in Social Media Marketing and Content Marketing Marketing services. You can find him on Twitter.

    As an entrepreneur, there’s no doubt that you’ve dreamed about starting an ecommerce business. It’s an appealing concept to most: you can work anywhere, anytime, and you never have to be tied down to a 9-5 office again.

    Funding a new business is one of the biggest challenges (if not the biggest) all entrepreneurs must face. But, one of the best things about e-commerce businesses is that you do not necessarily need a lot of money to start it up.

    Yup, you read that right.

    A business that doesn’t require loads of capital, an actual storefront, or multiple employees? Even though it sounds too good to be true, this is the sweet reality for many startups. However, funding for your e-commerce business requires a bit of creativity and a lot of belief in your idea.

    Here are a few strategies to consider in finding the funding to get your online business off the ground.

    Getting Started with Your Own Money

    The key to starting your e-commerce business with your own money is believing in the product or service you are going to sell and conveying that confidence to your customers. The best way to get your businesses started without a loan (or tons of cash) is by gauging an initial focus group to give you an idea of how much you will make through pre-sales, or how many customers will purchase as soon as you have inventory.

    This will require you to establish a great deal of trust with your customers, since they are purchasing before you have anything to give them.

    Take Brian’s story as an example. Brian Pulliam was an entrepreneur with a great idea – and no money to get started. He had invented a device to help ease his excruciating back pain, and he knew the product would be a hit once he could start selling it. He invested his own money by sharing the product with friends and family while using their experiences as testimonials for the product.

    Brian then went on to use that valuable content to market his product, which helped him to acquire pre-sales. So, as soon as he had the product in, he was able to sell it his customer base right away, earning him instant profits from his small investment.

    This is a prime strategy for many types of online ventures. For instance, when selling ebooks, or even coming up with ebook ideas, learning what a smaller group thinks early on can help you determine potential reception, demand, pricing and which distribution tactics would work best. The trick is establishing trust and credibility right off the bat, as this will be an influential factor in gaining early testimonials, or even getting the people to show interest in what you offer.

    Venture Capitalist Funding

    In many cases, starting a business of any kind requires a great deal of cold hard cash. Factoring in all the overhead costs of launching a company can easily set owners back thousands of dollars up front. Unless you have a large amount of savings you are willing to invest, going the route of venture capitalist funding may be the best option.

    Partnering with a venture capitalist group (or two) can help your business get on its feet and start turning a profit in a relatively small timeframe, especially if you need a lot of dough to get things rolling. For example, BlueStone, an online jewelry business, required a lot of startup capital in terms of design work and building an inventory. As their primary mission is to provide the best quality of jewelry, the company sought funding from several capitalist firms and ended up raising $30 million in funding. They used this money to invest in high-quality product and create a captivating marketing strategy to boost their brand presence within the highly competitive market.

    E-commerce funding has seen dramatic increases of around 136% and investments totaling over $30 billion dollars over the past few years. As great as these numbers sound, beware, there are some important things to consider beforehand.

    Venture capitalists typically require lots of information and proof of profitability before they are willing to risk their own money in a business venture. There are complicated contracts to sign and strict repayment schedules to abide by. Always be sure you have a VERY firm grasp of the terms and conditions before you receive funding from a venture capitalist firm.

    Crowdfund Your Idea

    Another way to find some investors, who are willing to invest on a smaller scale (while also gaining some possible future customers), is through crowdfunding.

    Before you start your campaign, research the various sites to decide which one will work best for you. Kickstarter is one of the more popular sites. Using this one will give you a huge viewing audience. However, they do collect up to 10% of the funds raised through fees.

    Indiegogo is geared more towards business startups. But, there is a 9% penalty you must pay if you do not hit your funding goals. Check out some other sites like Crowdfunder and RocketHub as well, and compare the advantages they offer and determine which site would connect you with the most relevant investors.

    Visual representation of your product or service is key when using these sites. Be sure they accurately explain your business in an exciting and innovative way. Commercials or testimonials of real-life customers are great for this purpose. Another tip that is sure to attract investors is by offering incentives for donations. Send them a free sample or provide a discount code once your company is up and running.

    In Conclusion

    Getting your e-commerce business off the ground financially may not be as difficult as you think. E-commerce offers entrepreneurs the freedom to start from scratch, with much less required funding than brick and mortar businesses. A great deal of your success comes down to your ability to convey that confidence to investors, partners, and ultimately, customers. Opportunity is everywhere, you just need to know where to look.




    1. I’d like to thank you for the efforts you’ve put in writing this blog. I really hope to see the same high-grade blog posts from you later on as well. Perfectly written subject material, Really enjoyed examining.

    2. Hello there! Do you know if they make any plugins to protect against hackers?
      I’m kinda paranoid about losing everything I’ve worked hard on. Any tips?

    3. Hey! I’m at work surfing around your blog from my new apple iphone!
      Just wanted to say I love reading through your blog
      and look forward to all your posts! Carry on the superb

    4. It’s really a great and helpful piece of information. I’m happy that you
      shared this useful information with us.
      Please keep us informed like this. Thanks for sharing.

    5. Magnificent beat ! I wish to apprentice while you amend your site, how can i subscribe
      for a blog web site? The account helped me a acceptable deal.
      I had been tiny bit familiar of this your broadcast offered
      brilliant clear concept

    6. Thanks , I have just been searching for info approximately this subject for a long time
      and yours is the greatest I have came upon till now.
      However, what about the conclusion? Are you certain about the source?

    7. I blog frequently and I genuinely appreciate your information. This article has really peaked my interest. I am going to bookmark your site and keep checking for new details about once per week. I opted in for your RSS feed too.

    8. Excellent beat ! I wish to apprentice while you amend your website, how can i
      subscribe for a blog website? The account aided me a acceptable deal.
      I had been a little bit acquainted of this your broadcast offered bright
      clear concept

    9. Hey! This is kind of off topic but I need some advice from an established blog.

      Is it very difficult to set up your own blog? I’m not very
      techincal but I can figure things out pretty quick.
      I’m thinking about making my own but I’m not sure where to start.
      Do you have any tips or suggestions? Appreciate it

    10. Oh my goodness! Incredible article dude!
      Thanks, However I am experiencing issues with your RSS.
      I don’t know the reason why I cannot subscribe to it.
      Is there anybody else having the same RSS problems?

      Anyone that knows the solution will you kindly respond? Thanx!!

    11. Hi, Neat post. There is an issue along with your website in web explorer,
      may check this? IE nonetheless is the market chief and a large part of people will miss your excellent
      writing due to this problem.

    12. An outstanding share! I’ve just forwarded this onto
      a friend who had been conducting a little homework on this.
      And he in fact bought me breakfast due to the fact that I discovered it for him…
      lol. So allow me to reword this…. Thank YOU for the meal!!

      But yeah, thanks for spending the time to discuss this topic here on your website.

    13. Hi, I believe your web site might be having browser compatibility problems.
      Whenever I look at your site in Safari, it looks fine
      however, if opening in Internet Explorer, it has some overlapping issues.
      I merely wanted to give you a quick heads up! Other than that, excellent website!

    14. Every weekend i used to pay a quick visit this website, for the reason that i want enjoyment, since this this web site conations actually pleasant
      funny data too.

    15. I enjoy, lead to I discovered just what I used to be
      looking for. You have ended my four day lengthy hunt!
      God Bless you man. Have a great day. Bye

    16. I loved as much as you will receive carried out right here.
      The sketch is tasteful, your authored subject matter stylish.
      nonetheless, you command get got an nervousness over that you wish be delivering the following.
      unwell unquestionably come further formerly again since exactly the same nearly a lot often inside case you shield
      this increase.

    17. I’m extremely inspired together with your writing skills
      and also with the format in your blog. Is that this a paid subject matter or did you customize it your self?
      Either way stay up the nice quality writing, it is rare to see a great
      weblog like this one these days..

    18. Hi! This is my first visit to your blog! We are a
      team of volunteers and starting a new project in a community in the same niche.
      Your blog provided us valuable information to work on. You have done a outstanding job!

    19. Greetings from Ohio! I’m bored to tears at work so I decided to check out your website
      on my iphone during lunch break. I really like the knowledge you provide here and
      can’t wait to take a look when I get home. I’m shocked at how quick your blog loaded on my mobile ..
      I’m not even using WIFI, just 3G .. Anyways, very good site!

    20. I’m very happy to uncover this site. I need to to thank you for ones time for
      this particularly wonderful read!! I definitely really liked every little bit of it and I have
      you book-marked to look at new information on your web site.

    21. Nice post. I learn something new and challenging on sites I stumbleupon on a daily basis.
      It’s always helpful to read through articles from other writers and
      practice something from their web sites.

    22. Can I simply say what a relief to discover someone that really knows what they’re talking about online.
      You certainly understand how to bring a problem to light and make
      it important. A lot more people must look at this and understand this side of your story.
      It’s surprising you’re not more popular given that you most certainly have
      the gift.

    23. Thanks on your marvelous posting! I certainly enjoyed reading
      it, you can be a great author.I will make certain to
      bookmark your blog and definitely will come back down the road.
      I want to encourage continue your great job, have a nice holiday weekend!

    24. Please let me know if you’re looking for a article author for your blog.
      You have some really good posts and I think I would be a good asset.
      If you ever want to take some of the load off, I’d absolutely
      love to write some articles for your blog in exchange
      for a link back to mine. Please send me an e-mail if interested.

    25. Hello, I think your site might be having browser compatibility issues.
      When I look at your blog site in Chrome, it looks fine but when opening in Internet Explorer, it has some overlapping.

      I just wanted to give you a quick heads up! Other then that, awesome blog!

    26. Excellent post. I was checking constantly this blog and I’m impressed!
      Very helpful information specially the last part 🙂 I care for such information much.
      I was looking for this certain info for a long time.
      Thank you and good luck.

    27. I used to be recommended this web site via my cousin. I am now not certain whether or
      not this put up is written by him as no one else recognise
      such special about my problem. You’re amazing! Thank you!

    28. It is appropriate time to make a few plans for the longer term and it is time to
      be happy. I’ve learn this publish and if I may just I wish to
      counsel you some interesting issues or suggestions.

      Perhaps you can write next articles referring to this article.
      I want to learn even more things about it!

    29. My coder is trying to convince me to move to .net from PHP.

      I have always disliked the idea because of the expenses.
      But he’s tryiong none the less. I’ve been using Movable-type on numerous websites for about a year and am nervous about switching
      to another platform. I have heard excellent things about
      Is there a way I can import all my wordpress posts into it?
      Any kind of help would be really appreciated!

    30. Greetings from Florida! I’m bored at work so I decided to browse your blog on my iphone during lunch break.
      I really like the info you provide here and can’t wait to take
      a look when I get home. I’m amazed at how fast your blog loaded
      on my cell phone .. I’m not even using WIFI, just 3G .. Anyhow, excellent site!

    31. Thank you for every other informative site. The place else may I am getting that type of information written in such
      a perfect method? I have a undertaking that I’m just now working on, and
      I’ve been at the glance out for such information.

    32. Hmm it seems like your website ate my first comment (it was extremely long)
      so I guess I’ll just sum it up what I submitted and say, I’m thoroughly
      enjoying your blog. I as well am an aspiring blog blogger
      but I’m still new to the whole thing. Do you have any helpful hints for beginner blog writers?

      I’d really appreciate it.

    33. That is a good tip particularly to those fresh to the blogosphere.
      Brief but very accurate information… Thanks for sharing
      this one. A must read article!

    34. Hi i am kavin, its my first occasion to commenting
      anyplace, when i read this piece of writing i
      thought i could also create comment due to this brilliant piece of writing.

    35. Hmm it looks like your website ate my first comment (it was extremely long) so I guess I’ll just sum
      it up what I wrote and say, I’m thoroughly enjoying your blog.

      I too am an aspiring blog blogger but I’m still new to everything.
      Do you have any points for novice blog writers? I’d genuinely
      appreciate it.

    36. I’ve learn some just right stuff here. Certainly price bookmarking for revisiting.
      I wonder how much attempt you set to make this sort of wonderful informative site.

    37. I wanted to thank you for this fantastic read!! I absolutely loved every bit of it. I’ve got you bookmarked to check out new things you post…

    38. I was suggested this blog by my cousin. I’m not sure whether
      this post is written by him as no one else
      know such detailed about my problem. You are incredible!

    39. Hey there! Do you use Twitter? I’d like to follow you
      if that would be okay. I’m undoubtedly enjoying your blog and look forward to new posts.

    40. Just want to say your article is as astonishing. The clearness in your post is just excellent and i can assume you are an expert on this subject.
      Fine with your permission let me to grab your RSS feed to keep up to date with forthcoming post.
      Thanks a million and please keep up the rewarding work.

    41. I have been surfing online more than 4 hours today, yet I never found any interesting article like yours.

      It’s pretty worth enough for me. In my view, if all site owners and bloggers made
      good content as you did, the internet will be a lot
      more useful than ever before.

    42. Hello very cool blog!! Man .. Excellent .. Superb ..

      I will bookmark your website and take the feeds
      additionally? I’m satisfied to seek out a lot of helpful info here in the post, we’d like work out more strategies on this regard, thank you for sharing.
      . . . . .

    43. I’m really enjoying the design and layout of your blog.

      It’s a very easy on the eyes which makes it much more pleasant for me to come here and
      visit more often. Did you hire out a designer to create your theme?
      Excellent work!

    44. It’s difficult to find knowledgeable people about this topic, however, you
      sound like you know what you’re talking about! Thanks

    45. Oh my goodness! Impressive article dude! Thanks, However
      I am experiencing issues with your RSS. I don’t understand the reason why I am unable to join it.
      Is there anyone else getting the same RSS problems? Anyone who
      knows the solution can you kindly respond? Thanx!!

    46. Hey There. I discovered your blog using msn. That is
      a very smartly written article. I will make sure to bookmark it and come
      back to learn more of your useful information. Thanks for the post.
      I will certainly return.

    47. Wow, wonderful blog layout! How long have you been blogging for?

      you make blogging look easy. The overall look of your website is fantastic, let alone the content!

    48. Hey I know this is off topic but I was wondering if you knew of any widgets I could add to my blog
      that automatically tweet my newest twitter updates. I’ve been looking for a plug-in like this for
      quite some time and was hoping maybe you would have some
      experience with something like this. Please let me know if you run into anything.
      I truly enjoy reading your blog and I look forward
      to your new updates.

    49. Excellent post but I was wanting to know if you
      could write a litte more on this topic? I’d be very thankful if you could elaborate a little bit further.

      Thank you!

    50. I want to to thank you for this fantastic read!!
      I absolutely enjoyed every bit of it. I have you book marked to check out new stuff you post…

    51. Hi there! Would you mind if I share your blog with
      my twitter group? There’s a lot of folks that I think
      would really appreciate your content. Please let me know.

    52. I would like to thank you for the efforts you’ve put in writing this site.
      I really hope to view the same high-grade blog posts from you in the future
      as well. In truth, your creative writing abilities has encouraged me to get my own website now 😉

    53. I think everything published was actually very reasonable. However, think on this, what if
      you were to create a killer headline? I mean, I don’t wish to tell you how to run your blog, however suppose you added a headline
      that makes people want more? I mean 3 Fundamental Strategies to Finance Your E-Commerce Business Idea | DOZ is
      a little boring. You might look at Yahoo’s home
      page and see how they create post headlines to grab viewers
      to open the links. You might add a video or a related picture or two to
      get people excited about what you’ve written. In my opinion, it could make your posts a little livelier.

    54. Howdy! I could have sworn I’ve been to this site before but after
      browsing through many of the articles I realized it’s new to me.
      Regardless, I’m certainly delighted I came across it and I’ll be
      bookmarking it and checking back regularly!

    55. Magnificent beat ! I wish to apprentice while you amend your web site, how can i subscribe for a blog web site?
      The account aided me a acceptable deal. I have been a little bit familiar
      of this your broadcast provided vibrant clear idea

    56. Currently it looks like Drupal is the preferred blogging platform out there right now.
      (from what I’ve read) Is that what you’re using on your blog?

    57. Woah! I’m really digging the template/theme of this website.
      It’s simple, yet effective. A lot of times it’s hard to get
      that “perfect balance” between usability and visual appeal.
      I must say that you’ve done a very good job with this. Additionally, the
      blog loads very fast for me on Internet explorer.
      Exceptional Blog!

    58. Greetings! This is my 1st comment here so I just wanted
      to give a quick shout out and say I really enjoy reading through your
      blog posts. Can you suggest any other blogs/websites/forums
      that cover the same topics? Thanks for your

    Leave A Reply