Is a Minority Small Business Loan Right For You?
If you are looking for a minority business loan, you might want to explore other creative business start-up funding options at the same time. Have you investigated the possibility of forgoing traditional bank loans and government-backed financing?
If you are starting a company initially or have been around in business for just 2 yrs, you might consider the option of bootstrapping. Bootstrapping your brand-new venture can provide the start-up business financing you need – without big loans from banks.
Can Bootstrapping Help Me Raise the Money I Need?
The response is yes. Bootstrapping will help you to reduce or eliminate start-up costs and operating expenses. In some cases, utilizing this financing strategy may make the requirement of a minority small business loan unnecessary. The key is being aware of what resources are for sale to you.
I recently showed a customer how to save over $230 per month on business telephone service alone. She owns a beauty shop and her telephone lines are the lifeline of her business. Not only do her regular customers phone to make repeat appointments, but her credit card machine operates through her telephone company. Reducing this expense has now enabled her to divert an extra $2,700 12 months to her advertising budget.
What Businesses Work Best With this Financing Strategy?
Any service business or home-based business is the ideal match to get a bootstrapped business. These types of businesses generally have lower initial start-up costs and in most cases are cheaper to function. You can even start such businesses with little if any money of your own. Some examples are consultants, graphic designers, janitorial services, photographers, your chef service, or a VA.
Having asserted, any sort of business can usually benefit from reduced start-up costs and overheads. A clothing store, as an example, may benefit greatly from reduced bank card transaction fees.
Where Do I Find Free Sources of Start-Up Business Financing?
Finding free causes of set up financing requires creativity and research. Begin by creating a set of your estimated start-up expenses and operating costs. Go over this list carefully; brainstorming locations where you are feeling you could be able to spend less.
Do some investigating online for options for free funding. When doing so, remember that government grants are not a likely option. This source of free business funding is generally only presented for research, biotechnology, and education.
The success of your brand-new business relies heavily upon your skill to manage earnings. With that in mind, you borrowed from it to yourself to save all the money as you can at the start-up phase. Deciding whether a minority small business loan program fits your needs requires research and planning. You can make your wants owning your own business without loans from banks an actuality – even though you have little or no money. I’m living proof!