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REDDITIf the idea is good, get started
No idea is immune to risks, but if you believe you have a solid business idea that can be profitable and you’re confident in its success, often the best move is to get started. One of your first steps will be looking towards various funding opportunities, as most start-up businesses don’t have enough capital to fully begin operation.
An example of a great starting business idea is one that has low risk and a large market potential – like vending machine businesses. Vending machine businesses are often great to start building your own capital for a separate business as they are often very profitable directly after launch. Companies like Healthy Vending have a number of resources able to assist in the development of vending machine companies.
Looking for external investment funding isn’t impossible either, there are a number of different ways you can get enough capital to run your business without needing to find it entirely on your own.
Bootstrapping
Typically the most popular option for funding a start-up business is for the owner to use their own savings as capital, although this does have some risk you have direct access and control over these funds and can start developing the business as soon as you’re ready. This approach is also a lot less risky if you plan it around your own income and expenses as you won’t need to pay back any debt as you would if you take a loan from a bank or a family member.
However, this funding does become difficult and a hindrance if you are looking to fast-track the development of your business and want to scale up operations and employee recruitment as fast as possible.
Micro Loans
Typically microloan businesses can be found in a number of locations across cities, and these businesses offer small loans, often with high interest rates, that should be easy to pay back if your business operates as you expect. If you only need a few hundred or thousand dollars you will be able to easily get that as a microloan.
In the same vein as these businesses, are the various online crowdfunding businesses like Indigogo and Kickstarter, which give you a massive connection to thousands of online users who are able to invest money in exchange for a cut of the business or access to your new products earlier than everyone else.
Bank Loans
Some businesses want larger capital in order to start increasing business operations by purchasing vehicles, office space or developing new products, for example. The best way to do this is to apply for a bank loan. This will involve providing a professional business plan to a bank or a lender. Your business plan will help the lender determine whether your business is profitable, and whether you are prepared for what’s involved with the business and the loan.
Government Programs
The U.S. Small Business Administration helps small businesses find funding through getting loans surety bonds or finding venture capital. There’s a range of different requirements so you must check to see if your business qualifies.
Funding is difficult. Not impossible.
Often funding a business in the very beginning is one of the most difficult tasks undertake as it seems like an impossible process to convince an investor of the potential that possibly only you can see. Finding investment that will help launch your business can lead to one of the most rewarding and most fulfilling tasks you’ll ever complete.
Remember to be prepared for ups and downs but in the end with a solid business plan, funding and direction you could be looking at a highly profitable and stable business and the beginning of your dream job.
