Starting and running a small business isn’t easy. There is a huge amount of risk involved in even the soundest of companies, and so much could go wrong. But it is rewarding, offering the talented entrepreneur a chance to venture out on their own and create something worthwhile.
The problem is funding it. In the beginning there are fees, costs, registrations, product developments, and more to consider. Figuring out how to pay for it all can be a serious headache.
Here are ten potential funding ideas to get you started.
1. Find an angel investor who believes in your company’s potential, and pitch to them.
2. Turn tax returns into seed money for your idea, rolling it forward into possible success.
3. Crowdsource your company by offering benefits to anonymous online buyers, using a website like Kickstarter or IndieGoGo to reward early adopters.
4. Look out for opportunities to impress in business plan contests by corporate sponsors.
5. Go with a tried and true small business loan from a local bank or credit union.
6. Use credit cards to begin funding your dream business, but be careful not to overextend yourself!
7. Go the bootstrap angle and try to reduce overhead and costs as much as possible, using your personal funds to get off the ground, and doing the majority of the work yourself.
8. Apply for online lending from companies like Kabbage or OnDeck, which have taken small business loans to a whole new level.
9. Find people in your life who believe in you, and offer them a business plan that shows your company to be a sound investment for growth.
10. Put up your house for a home equity loan, using the value of what you have paid off to fund possible payments in the future.
Funding your small business won’t be easy, but it will be worth it!