Thursday, November 14, 2019


How To Acquire The Funds For Your Startup.

June 18, 2019 by  
Filed under Money/Business, Weekly Columns

(Akiit.com) So you’ve been working away at your typical nine-to-five for a few years now, or you’re fresh out of college, and you want to get out there and make your mark on the world? Awesome. That kind of ambition will probably set you apart from others.

If you’re reading this, you probably have a business idea in your mind that’s ready to be unleashed. You have everything covered hypothetically, and your business plan is coming along nicely. It’s just a case of finishing off a few things and taking the plunge. It’s all well and good talking about it but actually getting out there and making moves is a whole new ball game. Actions speak louder than words.

One big factor in launching a business is, of course, having the funds to get it all moving. Yes, there are some business ventures that are smaller and don’t require much startup capital, but the majority will need some initial dough. You need to have the money before the launch as you’ll need to pay for everything that goes into the business – unfortunately, we don’t live in a fantasy land where everything falls handsomely on our laps. Rent, supplies, market research and a bunch of different aspects need to be paid for.

So how can we obtain the funds to get our business off the ground? The world of business is straightforward at times and complicated at others, so there’s a mixture of ways to go about it. Let’s talk about some ideas here.     

Raise It Yourself

To begin with, we’ll mention the simple thought of using your own money. Yes, we’ll delve into other more significant ways of throwing money at your project, but right now it’s good to suggest this. Saving up your hard-earned wage until you have enough to get going could be a fantastic and relatively stress-free avenue to take. You could also tap into your savings from a while back if you feel as though this business could really take off. When it comes to investing your own money, you’re traditionally supposed to save up about six months’ worth of bills – a good amount with some safety attached.

Friends And Relatives

If you’re finding it a little tough getting all of the required capital yourself, then you could enlist the help of people that are close to you. It sounds like a charitable act, but it doesn’t have to be anything like that. If your business is a convincing prospect with lots of potential, then they may feel that it’s a good idea to do a little investing themselves. Though it’s not a guaranteed thing, it may be something to think about. Those who you can trust may also benefit you as they’ll be able to share thoughts with you and pass on extra knowledge due to their new interest and involvement.  

Angel Investors

If you’ve ever seen Shark Tank or Dragons’ Den, then you’ll know what this kind of thing is. If you think your idea is something worth listening to, then you can get in touch with a few angel investors and have them hear what you have to say. If they like what they hear, then you can do a little negotiating and potentially get some investment into your project. Angel investors aren’t exactly the most abundant people in the world, so you’ll have to hit up appropriate websites and do some networking.    

Lenders

Business lenders will do precisely what they’re described as: they’ll lend you money for you to work on your business. They’ll provide you with a loan based on how to pitch to them, so you’ll need to be professional and convincing – nobody ever got on well with a business lender without preparation. Different lenders work with different businesses, so be sure to know what kind of company you want to pitch to. If you need any help, you can always head online and check out things like Knight Capital reviews and information about other companies. You don’t want to be heading into a place already beaten before you’ve started.                                                                                                             

Crowdfund

Finally, we’ll talk about using generous donations from the public to help you reach your goal. That’s to sites like Kickstarter and GoFundMe, a lot of startups have been able to get comfortably off the ground in recent years – some have even been a tremendous success. It seems like a crazy thought, but if you have a convincing enough idea, then people will understand and buy into it. Crowdfunding is an excellent way of building something out of nothing when you have limited options.     

Staff Writer; Terry Day


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