Find the Money to Start Your Own Business
It takes money to make money. While it is true that a few people have been lucky enough to start their own business for an extremely small amount of cash, most are not able to fulfill their dreams of having their own business without some start-up money. Fortunately, even if you don’t have a substantial amount of money in your savings or were not born with a silver spoon in your mouth, there are resources available for finding the money you need.
The Small Business Administration
Small Business Loans
Look into getting a loan. In the U.S., the Small Business Administration works with several loan institutions to offer low-interest loans to entrepreneurs with a fair to good credit rating. According to the SBA’s website, you should know everything there is to know about making a business plan, dealing with finances and managing a business. The site even offers free training in planning your start-up, beginning the process, and managing finances.
Alternatively, your local bank or another institution may loan you the money you need if your financial accounts are in good standing and the bank sees the potential in your venture.
Grants for Small Businesses
The SBA does not offer grants, but there are other institutions that do. Grants are a fantastic way to get started because you do not have to pay back the money. On the downside, you will have to compete with others for grants. Here is where a grant proposal comes in. If you have a good idea and there is a market for it, the next step is to write a persuasive grant proposal or have one written for you.
When dealing with the government, the chances of being awarded a grant are much better when the business you wish to start has a beneficial social and/or economical effect on the area in which you are starting your business. The CDFI Fund is one such grant and loan institution.
How to Write a Grant Proposal
Read Up on Finding Grants and Writing Winning Grant Proposals
There are a plethora of books on the market that deal with finding grants and developing grant proposals that outshine the rest. No matter where you choose to apply for grants or loans, it is a good idea to have a well-written business plan ready to show the organization(s) through which you hope to get the money to start you own business.
Another way of raising money is to talk to family, friends, and work associates. There are those who may be willing to help you with the stipulation that you pay them back with a small amount of interest. The typical arrangement is to make payments from a certain percentage of your profits or to offer a percentage of ownership in the business from which they would receive revenue.
The idea of getting a loan from a family member may be a touchy one for you, but if you have shown yourself to be responsible, a family member may be willing to loan you some start up money. The best way to go about obtaining a loan from a family member is to draw up legal documents and/or go through a professional institution such as Virgin Money, a place that deals with social loans.
- Family Loans - Family Loan - Personal Family Loans
Learn about family loans. Find out the things everyone should know about borrowing money from or or making a personal loan to a family member.
Money for Growing Your Business
Starting it up is not always enough. The sad fact of the matter is that many new businesses fail. Some fail because they were bad ideas in the first place. Others fail for socioeconomic reasons. Still others fail because turning a profit took a little longer than anticipated and the money simply wasn’t there. When asking for loans or grants, be sure to ask for a little more than you need to get started. You need to have enough money to fertilize and ensure consistent growth.
There is good news for those whose businesses are in danger of falling by the wayside due to inability to grow for lack of money. If you have been consistent with payments and kept the rest of your credit in good standing, there are companies (including the SBA) that offer loans to breathe life into a dying entrepreneurship.
Low Overhead Affiliate Marketing
Depending on the type of business you wish to start, the cost may be minimal. If you already have a computer and internet connection, the beginnings of an online business are right at your fingertips. Affiliate marketing and freelancing services may cost you in time at the beginning. As your business grows, you can put a little more money into it.
Make Some Money through Affiliate Marketing
You can start making money without even owning a website or domain name. If you can write and have the ability to put in the time that is necessary for keeping up with content and building back-links with social networking and article marketing, you can get your start right here at HubPages. Blogger.Com allows for some affiliate marketing and even has a specialized widget for easy interaction with Amazon.Com. There are sites that offer revenue sharing for posting interesting links and descriptions as well as for adding content. The trick to making money "for free" is in spending time doing research and in writing -- a LOT. The more you make, the more you will be able to put into marketing and expanding your affiliate business.
You can generate some money through Google AdSense and other contextual advertising in this manner as well.
Writing, designing, virtual assisting, presentation creation, SEO, internet marketing, web content - all of these can be done through freelance bidding sites. Over time, you can put some of the money you make into a freelance business of your own.
If you want to find the money to get started on a slightly larger scale, start with a minimal amount. A few hundred dollars will get you a website, domain name, a start with pay-per-click ads and the ability to outsource some of the necessary marketing.
It is a cinch that borrowing a few hundred dollars is easier than borrowing a few thousand, even if you are borrowing from Aunt Joy.