Are you an entrepreneur? You need to read this…
Everyone’s thought at some point how good it would be to be one’s own boss. Opening that amazing coffee shop which offers homemade cookies, creating the bookstore of your dreams or just providing a service on your own terms, because you do it best!
And how many people have actually followed their dreams? When you think about going from one bank to the other, burying yourself in debt, it is only logical why so few people decide to risk it and fulfill their dreams.
Funding your start-up might quickly become a nightmare, if you don’t plan in advance. And there are quite a few things you need to consider before going to people with your business proposal. But probably the hardest part is finding proper funding.
Gone are the days of bank loans and even governmental backing. People are becoming more creative and innovative in finding the financial support they need. Here are five of the ways you can use to get the funds you need in order to fulfill that dream of yours.
1. Crowdfunding
If you haven’t heard of Kickstarter and Indiegogo, it is high time you started googling them. These are two of the most famous crowdfunding platforms out there. Even tech start-ups for software development go to Kickstarter to fund their initiatives and grow their businesses. This method’s popularity is definitely growing fast.
But how does crowdfunding work? You create a detailed description of you initiative and publish it on a crowdfunding website like Kickstarter. You predetermine a goal you want reach and popularize your project. People who find it interesting and want to support it, donate funds which you later on use for the completion of your project.
2. Online Investments
The trading world becomes more and more accessible for the ordinary person. Take some of your accumulated capital and put it in the stock market. Trading software such as gemini 2, one of the newest technological miracles in the field, automate almost everything for you.
Of course, you will need to spend one or two hours a day, researching and studying to gain at least some basic knowledge. But the best part of making online investments with automated systems is that you do not need to be a financial guru or a professional trader.
3. Business Incubators
They are also known as start-up accelerators. A drawback in this case might be the fact that most business incubators are focused on technology and if you wish to fund a business in more traditional area, you might have a hard time.
Still, start-up accelerators nurture a productive environment. The only thing they might require in return is to own equity in your business. So think well if you want to share ownership with outsiders or not.
4. Angel Investors
These are investors who will lend you their funds in the early stages of your start-up development, in exchange for a 20% to 25% return on investment once the business gets off the ground. Alternatively, you can include them as equity owners in your initiative.
Angel investors have their sights primarily on tech companies like the giant Google, or smaller software developers like the creators of trading systems. So if you want to kick-off your business with the help of an angel, be sure to have some tech angle to it.
5. Personal Funding
Of course, if your business idea does not require huge funding, you can always slave away in your daily job from 9 to 5, till you have saved enough to get your initiative off the ground.
This is probably the best way, since you won’t be indebted to anyone. You can work and save with your own pace. A drawback of this method is that it might take too long. Eventually, you will fall into routine and might despair.
But do you know what you can do even with the smallest investment? Find the answer in number five.
Are You Ready For Take Off?
These methods are unconventional but they are proven to work. More and more people turn to crowdfunding or online investments with systems to gather the funding they need.
And they succeed. If you are ready for the success that awaits on the other side of the door, choose the method that suits you best and act before routine drags you down!
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