Beyond Angels and VCs: Alternative Paths to Capital for Founders

TL;DR

• Most startups won’t raise VC, but there are many powerful, overlooked paths to capital.

• Grace Belangia’s Angel Club Masterclass unpacked non-dilutive funding options like grants, customer-led funding, and community partnerships.

• Fundraising success isn’t just about money—it’s about relationships, trust, and resourcefulness. Join Angel Club to build yours.

Are You Fundraising the Hard Way?

In startup land, we’re taught there are two paths to funding: pitch angels or chase VCs. But what if neither is your best option? What if your ideal funding source doesn’t even take equity—or ask for a deck?

At our latest Angel Club Mentor Masterclass, “Beyond Angels and VCs: Alternative Paths to Capital,” Grace Belangia, startup ecosystem builder and founder of The Clubhou.se, flipped the script. Alongside moderator and Angel Club mentor lead Jon-David Hague, she delivered a high-impact session packed with real talk, real strategies, and real results.

This wasn’t theory. It was a permission slip to stop forcing a VC-first narrative and start embracing your power as a founder with options.

“It’s Not Just About Capital—It’s About Relationships.”

That was Grace’s opening line. And it stuck.

“You don’t raise capital in a vacuum,” she said. “You build community, tell your story, and build trust.”

This is also the heartbeat of Angel Club: we’re not just connecting people to funding—we’re connecting them to people. Investors, advisors, mentors, and fellow founders who show up with generosity and insight.

Jon-David added:

“When you’re a founder, it can feel like you’re doing this alone. Angel Club is here, so you don’t have to.”

3 Game-Changing Alternatives to Traditional Capital

1. Government Funding Is Hiding in Plain Sight

Grace pulled back the curtain on programs like SBIR and STTR grants, which are federal dollars available to founders working on innovative solutions, especially in underserved markets.

“These are funds you don’t have to repay,” she emphasized. “But most founders don’t apply because they’re either unaware or intimidated.”

Her advice: Don’t be. Free money is real. You just have to know where to look—and be willing to ask for help navigating it.

2. Incubators & Accelerators Can Be Your Secret Weapon

It’s not just about demo days. Accelerators and incubators can offer:

• Non-dilutive grants

• Legitimacy in the eyes of some future funders

• Lifelong partnerships that go beyond a cohort

Grace shared how she and her team started The Clubhou.se “between a barbershop and a tattoo parlor,” eventually winning a six-figure grant from the Robert Wood Johnson Foundation. The key? Community roots.

Angel Gambino, Founder of Angel Club, cautions to use discernment about whether to join an accelerator program, “Make sure you get referrals from others who’ve been through the program with that specific MD. Oftentimes, the value you get from an accelerator is highly dependent upon the MD and the level of engagement of the mentors and investors. You could give up too much equity for very little in return if you don’t do your homework.” 

3. Your Customers Are Waiting to Invest—Literally

“Your early customers are often your biggest champions,” Grace said.

Whether it’s pre-sales, referrals, affiliate programs, or full-on crowdfunding, customers can help validate, fund, and amplify your startup in ways VCs can’t.

Grace’s advice? Involve them in your journey. Celebrate them. Let them carry the torch with you.

The Real Talk You Don’t Hear on Panels

This wasn’t a sugar-coated, “manifest your millions” session. It was candid. Raw. And necessary.

Founder Karen Frame shared:

“I’ve been in accelerators, done Kickstarter, and even won a grant from Kevin O’Leary—but I also got totally screwed out of $9,000 from a PR firm. Not every offer is what it seems.”

Grace responded:

“There are a lot of people who want to take your money before you’ve even made any. Vet people. Ask other founders. And follow up.”

The Angel Club Difference

One theme echoed throughout the session: community is capital.

From warm intros to startup tools, our members benefit from:

• Live Mentor Masterclasses

• 1:1 mentorship

• Curated templates, databases, and resources

• Introductions to aligned angels, VCs, mentors, advisors, and partners

• A values-driven, founder-first ecosystem

Member Scott Clover put it best:

“I referred someone from the last session, and it turned into a great relationship. That’s the kind of value Angel Club provides.”

Key Takeaways

• Venture capital isn’t the only path. Most founders never raise it, and thrive anyway.

• Grants, accelerators, and customers can fuel your growth without giving up equity.

• Community matters. The strongest founders aren’t the loudest—they’re the most connected.

• Angel Club is your shortcut to mentors, funding, and real relationships.

Join the Movement

Whether you're raising now or building your runway, Angel Club can help you grow smarter, not just faster.

“It takes 20 seconds of courage to walk up to a stranger,” Grace said. “Half the battle is showing up—and following up.”

So here’s your invitation to show up:

• Join Angel Club: www.AngelClub.com/membership

• Meet our Mentors: www.AngelClub.com/mentors

• Pitch our Syndicate: www.AngelClub.com/syndicate

And if you missed this Masterclass? Don’t worry—we’ve got more on the way.

Check out our upcoming events: www.AngelClub.com/events