How Did You Fund Your Business? What Methods Would You Recommend For Others?
How did you find the capital to start your business?
I understand that some fields have very high startup costs, like in real estate, building cars, or starting an airline. But... there are many people out there with business ideas that seem much cheaper to get off the ground, and they get stuck at funding.
I funded all startup costs for my PR Firm out of pocket. Both me and the firm are 100% debt free, and have been in business for 10 years.
Is there anyone else who took this route for their business? And if not, how did you fund your business?
Update 2/2/17: I updated the question to prevent any further confusion. I'm not looking for advice or consultation services on how to fund my business. Just curious to know how other people funded their business, after watching so many Clients and other entrepreneurs balk at the idea of funding out-of-pocket, the way I did. Thanks!
Answers (21-30)
Sweat equity and credit cards but that was or 20 years ago. Today there seems to be more options. Interest rate are significantly lower now plus there is more money looking for a home. The whole architecture of money and lending is changing.
A small saving, a wish and a prayer, a little "steal from Peter to pay Paul" and credit cards for everything else. We did it all piece by piece, no funding. So far so good :)
I have worked with a business coach to make sure my processes are streamlined, and I work efficiently. Let me know if you would like to talk to him. He likes to sit down with a cup of coffee to discuss things before he gives suggestions re: how he can help.
Know social media and know it well. It takes up a LOT of time, but is a must for any business.
Write a complete business plan and stick to it.
Write a complete business plan and follow it
Credit card for some equipment, bank loan for vehicle. My focus is on creating consistent cash flow rather than becoming debt free.
We have a network group that meets Fridays at 1130 at Tims 17201 e 40 highway. Come see what YBS can do to build your business.
Questions xxx-xxx-xxxx
I started self-funding. This way I do not have to worry about banks or credit card issues. I had a few offers from people to invest, which I did not go for.
I think it depends on what line of business you are in. I funded myself to start, I didn't want to use my savings so I had regular job in addition to my new business. Once my business started making money I invested that money back into my business. I highly recommend this approach over getting a loan or investors for most businesses especially if you do not have an established client base yet.