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Abstract
Finance is the life blood of every business. So while considering sources of finance it is important to select the best source of finance. In this modern world there are many new sources of financing. Conventional sources of financing such as loan, own capital etc. were replaced by new sources as the time demands it. Because nowadays many are coming forward with new startup business with minimum investment by themselves and remaining amount is getting financed by these new generation financial sources. In this era of modern science and technology everybody enhanced to start a business if they have innovative ideas. Funding agencies are ready to provide funds to them. Angel investors, venture capitalists, Business incubators are some of the new generation financial sources. Their operations are totally different from that of conventional financiers. Angel investors are those who have succeed in their business and interested to invest in new startups; the amount invested by them will be less compared to venture capitalists. Venture capitalists are those who invest in venture projects. Venture capitalists are more attracted towards new startups as they are in search of new and risky projects which give high return if it succeeds. Startups use conventional source of finance too but the way of approach has been changed as the times changes. Financial Bootstrapping and Buyouts are also considered as source of finance. It is not good to forget governmental support for startups. Make in India, Digital India plans are enhancing the growth of startup businesses in our nation. This study focuses on the various aspects of financing and new sources of financing as it is important for this current scenario.