The world as we know it would be completely different if it were not for the entrepreneurial spirit. Business owners who came from all types of occupations built our country. Every industry, every product, and every service in existence got its beginning from someone who at some point in time decided to venture outside the norm. It is not easy starting or running a new start-up.
You have probably read somewhere that the majority of Fortune 500 companies fail within their first five years of business, and while that may be true; in no way should it discourage you from your living your dream. If you have a vision, never let anyone tell you it cannot be a reality. Now that we have helped boost your confidence and alleviate any doubt about the success of your newfound commercial venture, it is time to decide how you are going to fund it.
Although the failure rate for new companies may not have changed as far as numbers are concerned, we feel it has more to do now with motivation than anything. Do not get us wrong. Financing is indeed a huge challenge for business owners, but the reality is that multiple avenues are available for getting access to those much-needed funds. Here are a few ideas to help get you going in the right direction!
Answering the money question
If you have a solid business idea and strategy, one of the easiest ways to secure funding is via debt financing. Every day, banks provide start-ups with the money they need to commence operations, but note that your approval odds will depend on both your existing relationship with the institution as well as how much collateral/assets you have in case things go south. Commercial loans are a risk lenders take very seriously, so come prepared.
Thousands of grants are given to businesses from the U.S. Government and a wide array of non-profit and investment firms on an annual basis so do not rule out the possibility. Keep in mind that grants are free, so take advantage of them at all costs. From your friends and family to venture capitalist firms, there are many potential investors at your fingertips. Get your brand exposed and start making connections, because you never know what could happen!