How to finance your new business

“If I only had a lot of money, I could start a business and get rich”.. anonymous

         Anyone who has tried to start a new business knows about one of the main obstacles — money.

           Well, that’s a big subject, and there are many ways to get money, but just about every advisor I’ve heard repeats the same thing — start with your OWN resources. Don’t expect, or depend on, other people, to get your business rolling.

           Now, that doesn’t mean investors won’t play a role in growing your business. It just means you should do every thing you can to bring your own resources to the table. There are some good habits that are great in business, and one of those is frugality. Be cheap, but not foolish, and you’ll save a lot of money.    Ask yourself how important is this new business?   If the answer is “critical to survival”, you’ll do everything you can imagine to make it work.

TIPS

        One way to “get” money is to save more of what you take in now.    The old adage “a penny saved is a penny earned” is very true.       Take a good look at what you spend money on, and why.    Then think of ways you can save money on basics, get rid of spending you don’t need.    You can take advantage of opportunities such as:   yard sales, thrift shops, ebay, neighbors, friends, money-earning hobbies, and much more.     I know someone who for 7 years earned thousands of dollars every year selling stuff he found free at the local dump.     

   If your new business needs office equipment and furniture, you can often get it for next to nothing these days.   Just look around, go to local thrift stores, or better yet, go to the “thrift stores” and yard sales in upscale towns and neighborhoods.   You’ll be surprised at what you find there and how low the prices are.