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Finance

Where Startup Funding Really Comes From (Infographic)

Guest Writer
1 min read
Opinions expressed by Entrepreneur contributors are their own.

Prominent VCs and angel investors may dominate the headlines with their big sticker investments, but personal loans and credit – along with investments from friends and family – make up the lion's share of funding for startups in the U.S.

According to data compiled by Fundable, only 0.91 percent of startups are funded by angel investors, while a measly 0.05 percent are funded by VCs. In contrast, 57 percent of startups are funded by personal loans and credit, while 38 percent receive funding from family and friends.

Want a more detailed breakdown of startup funding? Check out the infographic below.

Click to Enlarge+

Where Startup Funding Really Comes From (Infographic)

 

Related: Funding 101: How to Position Your Startup as a Good Investment

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