has anyone ever started a business with out any money?
Posted by admin on 12 Aug 2010 3:57 am. Filed under Small Business.
TexasFrank
Hi well i’m planning to start my own business soon, i have my plan down and everything, i just need two things, location and money to to start
Hi well i’m planning to start my own business soon, i have my plan down and everything, i just need two things, location and money to to start
i was thinking i’d either get a small business loan from a bank, but i think i might need about 250,000 or more,
or should i go with an angel investor, or VC investor (venture capital)
anyone ever start where i’m at
One Comment to “has anyone ever started a business with out any money?”
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On August 15th, 2010 at 10:05 am
With the current economic down turn and the banks being very nervous I think you may have a hard time raising that sort of cash without substantial amounts of your own.
I realise you’re probably in the USA but here in the UK to get that sort of money you’d need to put up at least half yourself, then the bank would match it providing you had good collateral for them.
So that just leaves the Angel / VC investors. You will have to find someone who believes in your ideas but also that they can make money off them so a good idea and a good business plan is essential. You will also find that they will want a controlling interest in your company as their collateral.
The only other way to do it would be start small if that’s possible. Operate from your house or back yard, use credit cards as working capital. Plough all your profits back into the business and make it grow, then when it’s up and running and successful the banks should be easier to talk to with expansion plans.
Sorry, I realise most of this isn’t what you want to hear but going into business isn’t as easy as some people with their get rich quick schemes would have you believe.
Good Luck !