When it comes to startups, the common problem that most entrepreneurs face today is the money to start a business. Being an entrepreneur is not easy, you have to take risks and move forward with optimism psychology. You need to think of ways by which you can obtain maximum output with minimum input. Well, that’s the basic rule of the business and widely followed by entrepreneurs all over the world. You need to be creative in what you do and innovative in your decisions. Few opt for business start up loans while few look for different alternatives. Bright ideas make a better future and some good initiatives can lead a foundation for you to become a successful entrepreneur. If money is scarce, that does not mean that you put your dream on hold, you always have better options to look forward. So, here are some creative ways to finance your business.
Steps to a Better future
• Sell your product to raise money – Well if you resale your product and find a suitable buyer, then you can raise funds for your business in an effective manner. No doubt there are many successful entrepreneurs all around the globes who started this way and once they complete their target, they expand their business with funds they collect.
• Support from family and friends – It is the traditional way and the most effective way in this contemporary world. You can convince your friends and family to invest or provide small business startup loan which may help you to implement your ideas better without any pressure. This way is much better than taking loans from any other alternative.
• Double Dipping – You can always start a side business to raise funds for your business startup. In this way you will not be under any kind of debt and burden and thus it is the safest way to start the business.
• Selling stuff – Well, sometimes it’s hard to sell out your stuff, but as Jarod Kintz said “Instead of burning the midnight oil, you should try to sell it”. Sometimes you have to compromise to achieve success. You can make good money out of it. If you do not want to sell, you can also opt for mortgage at Metropolitan Mortgage or other reputed agencies. This way you can keep what is yours but also get the required money for your project.
• Credit card – You can use a credit card to finance your money. This is an easy way, but it involves risk. If something goes wrong, then the interest rate goes up at a very high rate.
• Angel investors – It is one of the recommended methods and many leading companies like Google and Yahoo have used it. Angel investors give you the required amount to start up the business. You get a friendly environment and moreover a better and quicker way to deal with business.
• Microloans – You can lookout for various firms providing small loans for the young entrepreneurs. These firms are generally better than taking business startup loan from a bank.
• Get new order and deliver – There are a number of entrepreneurs who receive the order from the customer, but they are not able to supply due to lack of money for the production. There are some companies who provide loan in this scenario. With this you will be able to raise funds for your startup in a better way.
• Real estate – This is one investment which provides greater output if done after a research. Before investing your money, always do a little work to find out the current rates etc and do the right thing. With this you can raise money successfully without complications.
• Cut out liabilities – Well, it’s another creative way to earn good money. For example, you can rent your home for some time and raise a good amount of money by doing that. Many entrepreneurs have employed this way and were successful to earn enough money to start their business.
• Crowdfunding – It is a very popular way among entrepreneurs. In this you can make a good use of internet by finding people having similar thoughts on investing with small amounts. Collectively, these small amounts on adding up will provide you with a better alternative to startup your business.
• Financing by vendors – This is very helpful to obtain the material to sell your product. The manufacturers do not take any payment from you till your product is sold. In this way you get a better extension to sell your goods much efficiently.
After reading these 12 ideas, you must be very confident about your startup. But remember that things aren’t that easy as they seems. You need to work harder to achieve the best out of it. Moreover, just by visualizing ideas in your mind you won’t be able to implement them practically. You must be able to adapt according to the situations and work practically to achieve the requisite aim. Risk is always involved for young entrepreneurs, but that does not mean that you can’t do it. Overcome your fear and be creative and innovative and always ask yourself that do I have what it takes to become a successful entrepreneur?