BusinessEntrepreneurship Tools and advice

8 Tips To Start A Business With Little Capital

Lack of money is one of the biggest obstacles when starting a business, but nothing should be considered impossible by a good entrepreneur.

If you are an entrepreneur or have an idea in mind that you want to carry out, you will know that the lack of money is one of the most common obstacles when starting your business .

Depending on what you want to do, you will need more or less financing; but as it is, nothing is impossible to be realized. Today we prepare 8 tips that will help you know where to start .

1.Savings

This is one of the resources most used by entrepreneurs. The best thing that can happen to you is to have personal savings , because in this way you will not have to resort to anyone to start your business.

 If you have nothing saved, you can start saving as soon as possible. Undoubtedly it will take some time but if your business idea can wait a while to materialize, it will be even more beneficial because you can polish it and fine-tune details.

2 .Credit cards

Acquiring debts to start is not recommended but sometimes it is the only way to achieve it. If you trust that your idea can prosper and become a profitable business, go ahead. It is the way to start a large majority of entrepreneurs, since many banks refuse to give credits .

3.Family and friends

Resorting to the people closest to you is a good idea because they will not pressure you to pay quickly, although the best thing to avoid damaging the relationship is that when you ask for the financial help, the mutually agreed terms will be established to pay back what they have lent you .

In addition, you must make it clear to your circle that the fact that you have been financed by the start of your business does not mean that they can intrude and make decisions.

4 .Sell something that you no longer use

If you have objects that are only occupying space because you no longer use you can choose to get rid of them. Even if they give you little money for those goods, it is always better that they are gathering dust in a corner.

What you get for what you have sold can be a good opportunity to start saving or to invest in a tool for your future business.

5. Angel Investors

Also known as “business angel”, they are private investors that provide capital, experience and networks of contact to the incipient entrepreneurs .

All this is very valuable, but the negative is that in return, your venture will no longer belong exclusively to you.

These people in general are former entrepreneurs or individuals who have idle capital and decide to bet on the projects they consider to have potential.

6.Search in principle second-hand products

Have you heard how successful entrepreneurs start? The majority of the testimonies assure that they did it from the garage of his house.

Use what you have available and if you have to buy some used tools look for it.

You will have time to renew it and disbursing large sums at first is not a good idea. Over time you will improve working conditions as the business begins to grow and bear fruit.

7.Exchange

In the same line of getting rid of what we do not use is the exchange. It is one of the oldest forms of business when money did not exist, and it is still used today.

Do you have an old bicycle at home that you do not use but you need for example a coat rack to display the clothes you design?

There are always Second-Hand locations or fairs where you can exchange what you no longer use for what you are missing.

8.Crowdfunding

It consists of the massive financing of your project. It is usually done through the internet and it consists of exposing your project in a site dedicated to this and the same users choose whether or not to invest in your idea.

As a positive aspect, crowdfunding allows you to access massive financing thanks to the support of large groups and to obtain potential customers through “word of mouth” advertising

Comments

comments

Show More

Related Articles

Close