Starting your own business is loaded with risk. Most believe that you have to go in with your own funding to make things happen. This is not the case. In fact, there are 13 ways for you to acquire the finances you need to launch your business off the ground.
Here Are The 13 Ways To Finance Your Business
- Don’t Reinvent The Wheel: It’s too easy to fall into the trap of creating a business idea that is mind-blowing, innovative, and unique. However, none of this will guarantee success. Instead, focus on a business concept that has a proven track record of profitability.
- Reach Out To Your Personal And Professional Networks: The moment you have solidified your business idea, start presenting it to all of your networks to create interest from possible investors. As you present your ideas clearly and with enthusiasm, you can attract support.
- Do It For Free Or Affordably: Only pay for the right tools that will help you move forward, without breaking the bank. Learn as much as you can for free to determine what you really need to run your business versus what you’d like to have.
- Create Something Within A Company: If business ownership is not in the cards just yet, consider developing something new within a company. Think about creating a new product or service. The only drawback is that you will need to hold a senior position, an established track record, and a strategic plan.
- Pre-Sell: When you pre-sell a product or a service, you are essentially testing for interest and viability of your idea to the market. It also provides you with funds necessary to bring the idea to fruition. You could use the “crowdfunding” platforms such as Kickstarter or even approach people personally for support.
- Find Flexible Funding Opportunities: The key is to look outside of “traditional funding options.” Flexible funding can help you launch your business, pay for daily expenses, and promote growth. For example, merchant cash advances are great for startups with zero debt as it is a cash advance, not a loan.
- Trade Your Expertise For Resources: Sometimes, you have to work for free in order to build your business. Consider training your skill in exchange for another resource you need but can’t afford at the moment.
- Share A Space: When money is tight, consider reaching an agreement with another business that has extra office rooms to rent out. This will alleviate having to pay an entire lease, which can take a significant portion of your revenue at the beginning of your business journey.
- Consider Crowdfunding: A good idea will generate curiosity in people who share in your interests and they will want to support you. Use these funds to launch your business and catch the eye of investors to lend a hand.
- Partnership: Think about who would be willing to form a “strategic alliance” or “equity allocation” so that you can utilize their customer base to develop yours.
- Begin With Consultation And Create A Product Later: Offer your services for consulting before you produce a product. By offering consulting first, you are testing for interest in an eventual product.
- Pitch To Investors: Think like a startup. Consider pitching your idea to investors. You can include stakeholders in your project. If you are persuasive, you will raise the money.
- Do What You Love: You know your strengths and weaknesses so focus on what you are good at and do those tasks that come naturally to you. This will considerably reduce your expenses as well as risk.
There Are Alternatives
Don’t give up on your dream of launching your own business because you lack funds. There are plenty of ways to drum of enthusiasm, interest, as well as the necessary funding from a wide variety of channels.