Написать абстрактное письмо, то есть пересказ текста при этом уложиться в 100 слов main alternatives to venture capital because of the strict requirements venture capitalists have for potential investments, many entrepreneurs seek seed funding from angel investors, who may be more willing to invest in highly speculative opportunities, or may have a prior relationship with the entrepreneur. furthermore, many venture capital firms will only seriously evaluate an investment in a start-up company otherwise unknown to them if the company can prove at least some of its claims about the technology and/or market potential for its product or services. to achieve this, or even just to avoid the dilutive effects of receiving funding before such claims are proven, many start-ups seek to self-finance sweat equity until they reach a point where they can credibly approach outside capital providers such as venture capitalists or angel investors. this practice is called "bootstrapping". there has been some debate since the dot com boom that a "funding gap" has developed between the friends and family investments typically in the $0 to $250,000 range and the amounts that most vc funds prefer to invest between $1 million to $2 million. this funding gap may be accentuated by the fact that some successful vc funds have been drawn to raise ever-larger funds, requiring them to search for correspondingly larger investment opportunities. this gap is often filled by sweat equity and seed funding via angel investors as well as equity investment companies who specialize in investments in startup companies from the range of $250,000 to $1 million. the national venture capital association estimates that the latter now invest more than $30 billion a year in the usa in contrast to the $20 billion a year invested by organized venture capital funds. in industries where assets can be securitized effectively because they reliably generate future revenue streams or have a good potential for resale in case of foreclosure, businesses may more cheaply be able to raise debt to finance their growth. good examples would include asset-intensive extractive industries such as mining, or manufacturing industries. offshore funding is provided via specialist venture capital trusts, which seek to utilise securitization in structuring hybrid multi-market transactions via an spv (special purpose vehicle): a corporate entity that is designed solely for the purpose of the financing. crowd funding is emerging as an alternative to traditional venture capital. crowd funding is an approach to raising the capital required for a new project or enterprise by appealing to large numbers of ordinary people for small donations. while such an approach has long precedents in the sphere of charity, it is receiving renewed attention from entrepreneurs such as independent film makers, now that social media and online communities make it possible to reach out to a group of potentially interested supporters at very low cost. some crowd funding models are also being applied for startup funding, for example, grow vc. one of the reason to look for alternatives to venture capital is the problem of the traditional vc model. the traditional vcs are shifting their focus to later-stage investments, and return on investment of many vc funds have been low or negative.