No Revenue? No Problem. 5 Creative Ways to Fund Your Startup in 2025.
It’s the classic startup dilemma: you need money to build and market your product, but lenders and investors want to see a product with revenue before they give you money. This frustrating catch-22 can make it feel impossible to get your brilliant idea off the ground.
If you’ve approached a traditional bank in Bangladesh for a loan for your new, pre-revenue startup, you’ve almost certainly heard a polite “no.” Banks are designed to evaluate existing cash flow, not future potential.
But “no revenue” does not mean “no options.” It just means you have to think more creatively than a traditional business. Here are five realistic and proven funding pathways that successful startups in Bangladesh use to get the capital they need before making their first Taka in sales.
Before You Seek Funding: The Two Things You MUST Have
Even with a creative approach, you won’t get far without a foundation. Before you approach anyone for money, you need:
- A Solid Business Plan: A clear document explaining your idea, your target market, your team, and your financial projections. It proves you’ve thought through the business.
- A Prototype or MVP (Minimum Viable Product): A simple, working version or even a detailed visual mockup of your product or service. This makes your idea tangible and shows what you plan to build.
With these in hand, you’re ready to explore these creative funding strategies.
1. Bootstrapping & The “3 Fs”
This is the most common starting point for nearly every startup in the world.
- What It Is: Bootstrapping is using your own personal savings to fund the initial stages of your business. The “3 Fs” stand for Friends, Family, and Fools—raising small amounts of money from your immediate personal network who believe in you.
- Pros: It’s fast, you retain 100% ownership and control of your company, and the terms are based on trust, not rigid contracts.
- Cons: It carries a high personal financial risk. If the business fails, you could lose your savings and strain important personal relationships.
2. Government Grants and Startup Competitions
The Government of Bangladesh is actively trying to grow the startup ecosystem and offers “free money” to promising ideas.
- What It Is: Applying for non-repayable grants through government-backed organizations. Key players include Startup Bangladesh Limited (which provides seed funding) and the ICT Division’s iDEA Project (Innovation Design and Entrepreneurship Academy), which runs competitions and offers grants to tech-focused startups.
- Pros: This is non-dilutive funding—you get the cash without giving up any ownership of your company. Winning a government grant also provides immense credibility and validation.
- Cons: The application processes are highly competitive and can be long. The funds are often tied to specific milestones or can only be used for certain expenses.
3. Startup Incubators and Accelerators
These programs are designed to take very early-stage ideas and help them grow rapidly.
- What It Is: A program that provides a small amount of initial funding (known as “seed capital”), along with invaluable mentorship, free office space, and access to a huge network of investors and partners. In return, you give them a small percentage of equity in your company (e.g., 5-10%). Prominent local examples include the Grameenphone Accelerator (GPA) and various university-based or private tech incubators.
- Pros: The mentorship and network access are often more valuable than the money itself. It’s a crash course in building a successful company.
- Cons: You have to give up a piece of your company very early on, and the programs are intensive and demanding.
4. Angel Investors
Once you have a solid prototype and business plan, you can seek out angel investors.
- What It Is: Angel investors are wealthy individuals who invest their own personal money into promising startups in exchange for equity. Unlike a bank, they are betting on the future potential of your idea and your team. There are growing angel investor networks in Bangladesh, like the Bangladesh Angels Network.
- Pros: They can provide a larger amount of capital than incubators or the 3 Fs. Many also bring valuable industry experience and can act as mentors.
- Cons: It can be very difficult to find and convince the right angel investor. You are giving up ownership and will now have a co-owner who expects a return on their investment.
5. Pre-Selling and Crowdfunding
Why wait for an investor when you can get your customers to fund your launch?
- What It Is: A modern strategy where you sell your product to customers before it is fully manufactured. You can do this by taking pre-orders on your own website or launching a campaign on a crowdfunding platform. You use the money from these pre-sales to fund the first production run.
- Pros: It is the ultimate form of market validation—it proves people are willing to pay for what you’re making. It’s non-dilutive funding, and it builds an engaged, loyal customer base from day one.
- Cons: You are now under immense pressure to deliver the product you promised to your backers. Any delays or failures can severely damage your brand’s reputation before it even gets started.
Conclusion
“No revenue” doesn’t mean you have no options. It simply means you must be more resourceful and strategic than an established business. From leveraging personal networks and government support to attracting private investment and getting customers to fund you directly, the path to funding your startup is creative and multi-faceted.