One of the important aspects of running a business is raising funds. At times where bootstrapping isn’t possible, you’ll need a capital cash infusion to take care of numerous costs and other factors like location. In such cases, you need to start with the kitchen table pitch, i.e. selling your idea to friends and family members to secure their angel investments.

However, while this method seems easy and profitable due to its numerous advantages, there are some disadvantages which mandate that you think your decision over a few times, regardless of whether you’re planning to fund your business through equity investment or by borrowing money.