When just getting into business few things are more important than startup cash. No matter how good your business idea is, you won’t be able to get it off the ground if you cannot secure funds. Bank loans, family loans, credit cards, and other lending devices can be a pain to secure. This is why we compiled the following cash-raising strategies that, although some are a bit on the creative side, have been shown to reap dividends for the committed entrepreneur.
The Angel Investor Option
The primary thing to know about the angel investor route is that you will be exchanging equity for funds; nonetheless, this is usually one of the better cash-raising strategies for those who don’t mind sole ownership of their business. Furthermore, you often get a seasoned businessperson that can help the business out tremendously – in addition to the often deep pockets and heavy incentivization.
Throw a Garage Sale or eBay Your Unused Items
When starting a business and looking into cash-raising strategies, you will quickly learn that every single bit helps – even if only to pay the interest on a preexisting business credit card. You will, of course, have to sell your unused valuables; additionally, however, you may have to sell some things you’d want to otherwise keep. If you can get a pretty penny for it, it will make for a good story about sacrifice once your business is successful.
A Host of Similar Cash-Raising Strategies
You can also add the following to your list as you search for more ideas: try and obtain an equity line of credit, in which you lend your business funds after the fashion of a secured credit card. Similar to angel investing, you might also engage in royalty and revenue sharing with family or friends. Vendor financing, business incubation, and reverse takeovers are all more esoteric ways to obtain cash; all of them are worth looking into. KPI Commercial Capital is your one-stop-shop for information on raising cash, and finance in general. Contact us today.