Patience and sacrifice are key components when starting a new business. Some tips to deal with the new challenge, even without money, and not to succumb.
How to open a business with no money? We respond immediately to this question by providing practical advice so as to reach the target with ease: valid suggestions summarized in a kind mini guide, to follow step by step to succeed in their intent.
The first rule to open a business with no money is to know more or less exactly how much money will be used to realize the maneuver. What will be, therefore, the actual and essential expenses to be incurred in the short term?
The main points of focus now may concern:
- Licenses and permits, these vary from region to region and are necessary to start any business;
- Accessories, raw materials, computer and / or other devices;
- Equipment, machinery, software, etc.;
- Office, consistent and ongoing expenditure;
- Subscriptions, software, magazines, etc.;
- Marketing expenses to advertise StartUp and make it known;
- Legal and administrative spheres, the costs to receive support from lawyers, accountants, etc.;
- Employees and collaborators, if you cannot leave on their own, you have to hire professionals.
How to better manage money
Who wants to start your own business with no money can focus on the dual objectives of reducing as much as possible the costs to be incurred immediately and find funds through external channels. To succeed in this, there are three different solutions can be summarized in the following points:
You may also like to read another article on BSOinvest: Startup: 5 Business management tips to make a difference
# 1- Calibrate the needs according to their own possibilities
If, for example, you decide to go it alone to start a personal trainer, instead of hiring immediately tot professionals, at the beginning you can do figure as sole employee’s own person.
Another strategy to be assumed in order to reduce economic waste, regard the office: you really need it immediately or you can start working from home to break down a number of costs so substantial as superfluous as those arising from a rental?
In some cases you can even think of trying suppliers (electricity and the like) more economic or delete a production line of articles that, in the preliminary stage, it is too expensive and complex.
Those listed are just some of the many opportunities available to a startupper. But, still, those who choose to open a business should always consider the mandatory costs (such as licensing or legal fees), which must be supported by force.
# 2- Building the business bit by bit and calmly
Since we are explaining how to open a business with no money, another good tip to follow to achieve the goal, would be to build the business slowly and proceeding in small steps.
Instead of resigning from the old job and head directly for broke on a new business, you can concentrate solely on the creation of its bases (start a blog, offer a niche service, etc.), Reducing the scope, profits and the public to test the market.
The simple fact of starting your own without employees, as well as avoiding a long series of initial costs, also allows you to manage a simple tax situation and characterized by less responsibility.
The right time to invest fully in yourself and really gamble in their own business, comes when you receive the first actual earnings. Up to that juncture, we recommend caution and patience.
# 3- Finding funding
Anyone wishing to open a business with no money can bet on:
- Angel Investors, who are affluent individuals interested in investing money and expertise in business ideas from good potential (usually these people are asking in return the shares or shake other similar agreements which, although they represent a sacrifice for the creator of the business, in many cases give major aid);
- Venture Capitalists, Angel Investors that are similar to, but compared to differ and because they generally belong to organizations or partnerships, both because they often affect mainly to existing companies;
- Crowdfunding, which is a collective funding aimed at any area and set aside in favor of good business ideas;
- Loans and government grants, which are awarded by local state structures or from government agencies to help small businesses to start up and grow;
- Bank loans, which can be obtained when you meet the requirements imposed by the bank to which it is addressed;
- Friends and family, contributing economically together to provide the financial support necessary for the Start Up of the company;
Thanks to these different options should be extremely simple to minimize their initial investment, ensuring the new commercial reality greater chance of growth and development.
These are our targeted practical advice to those who want to start their own business with no money: strategic solutions to be exploited to start businesses while limiting risk.