Great Business Idea But No Cash? These Are Your Options

The old cliche is true, in business you really do have to spend money to make money. This is especially true in the beginning, when there are lots of overhead costs to consider but you’re not yet making a profit. Hiring premises, recruiting staff, purchasing equipment and paying for things like website and app design can all be pricey. It can be frustrating when you know you have a good business idea and have a product or service that people will want, but if this is the case there are options if you’re short on cash. Here are some ideas.

 

Take Out a Loan

This is the most common option that new businesses take. If you don’t have cash saved up, you do have the option of taking out a loan- it’s best to use a company like SummitFR.com that specialises in business loans. That way you can afford everything you need up front and can pay back the loan in increments as you turn a profit. Make sure you’re looking at things like interest rates and repayment amounts, you need to be confident that you can afford to pay everything back. Be aware that it might take longer than you think to get established and start turning a regular profit.

 

Take on a Partner

If you already have some money but it’s not quite enough, how about taking on a partner who can also contribute? As well as extra money, you also have another person who can give their ideas, knowledge and experience to make the venture a success. You will of course want to choose someone you trust and ideally has past experiences and success in business. It can be a great way to raise the cash you need, and two heads could well be better than one.

 

Find an Investor

An investor will give your business a cash injection, and in return they will own a percentage of your company. This can be a worrying prospect of losing part of your company, but it’s almost always worth it. Investors are generally experienced business people, and as well as offer you cash they often act as mentors too and can give you invaluable advice for improving and growing your venture. The competition for investors is fierce, so before approaching one you need to have your facts and figures right. They will want to know all of the information you have on your business, from what you sell to how many you have already sold if it’s gone into production. How much profit you’re likely to make each year and what kind of market research you’ve done.

 

 

See If There’s Other Help

If you’re a young entrepreneur or from an impoverished area, there are sometimes schemes such as The Prince’s Trust in place that can help you to get your business off the ground. This includes things like grants and business advice. It’s worth seeing what’s available to you and following up on this.

See If There’s Other Help

If you’re a young entrepreneur or from an impoverished area, there are sometimes schemes such as The Prince’s Trust in place that can help you to get your business off the ground. This includes things like grants and business advice. It’s worth seeing what’s available to you and following up on this.

 

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