State the different ways of raising the capital for his business.

If Ram decides to start as proprietorship than he has to raise all the capital by himself. He can get it from his own savings or borrow money form bank, financial institutions. He can also study the different government schemes and raise capital through those schemes.

If Ram decides to start partnership firm than he will have to find a person who is ready to invest in his partnership firm as well as he has knowledge about manufacturing parts of bicycle. They can raise capital by investing their savings, borrowing through financial institutions and friends. They can also take help from various government schemes and institutions set-up to help SSI.

If Ram decides to start corporation i.e. Pvt. Ltd. Company than he can raise capital by issuing equity shares privately. He has to sell the shares to his friends and relatives. He can also study of various government schemes and raise capital through those schemes. Ram can also borrow money from bank, financial institutes, etc. He can also accept deposits from public in the further stage of his business.