Don't Let Money Be an Obstacle to Starting a Business

There are many professionals out there who are very successful at what they do, yet they have never become entrepreneurs. Why is that?

There are a few reasons for that. Some people simply don't think they are cut out for being responsible for everything and being on their own in most cases. Some are so immersed in their careers that they don't want to change the direction they're going. And there are those who don't want to spend less time with their families, which is what they believe will happen if they start their own business.

However, the largest number of successful professionals don't start their own business for one reason: money. They are afraid of two things mainly. Firstly, they think they won't have enough money to invest in the start-up and the development of their business. Secondly, they are too afraid of the risk of investing a lot of their hard-earned money into something that could fall through.

If you are one of the latter, keep on reading and find out what you can do so that money is no obstacle for starting your own business.

Set money aside before you start your business

Don't quit your day job just yet but find another part-time job and decide that all the money coming from your other job is set aside for starting your own business. You can set a goal in the form of a certain amount of money you want to earn or give yourself six months or a year before you move on to your own business.

Of course, another way to earn extra money is to actually - save up on daily basis. If you're being really honest to yourself, you'll admit there are certain things in your life that drain money, even though you don't really need them. Give up some luxuries and you'll have the money you need to invest.

Don't look for an office just yet

The truth is that most business can be done from home. It will cost you much less to just work from your home than to pay for renting an office space and the utilities there. You wouldn't be the only one working from home (even though not a lot of people will admit that) because more than 50% of entrepreneurs do the same thing.

Use everything that's avaiable for free

There are so many online resources that are free, you just need to find and use them. For example, you can create your own website for free if you learn how to use WordPress or WiX. Maybe it's not the highest quality but it will do. You can also find your target audience for free and connect with them on almost every social media on the internet, mostly Facebook and Instagram.

There are also numerous forums you can join and find people who think like you or need your services. Sites like Craiglist will allow you to post your upcoming events and advertise your business that way.

A loan can be a positive boost

Whether you decide that you want to start your business by getting the money from an outside source or you are afraid what might happen if you run into an obstacle after some time later, there's one sure solution for both scenarios. Getting a loan is pretty simple and helpful if you don't want to waste time looking around for additional money. In case you can't get a business loan, it's relatively easy to apply for a personal loan and deal with the issues that occurred.

Don't get carried away with the inventory

People tend to spend too much on things that aren't that necessary. Inventory is one of those things. So, buy as little inventory as you can in the beginning and monitor how fast it sells. Spend some time to find drop ship companies that are willing to print your custom designs on coffee mugs or T-shirts and ship them directly to your customers, but with the business name you're using. It's a simple and cheap way of selling goods. After some time, you'll come to the conclusion which is cheaper for you - having the product directly shipped to the client or having it shipped to you as inventory.

Rent the equipment, don't buy it

In the beginning, it's hard to know how often or how long you'll be using a certain part of your equipment or a certain tool. Also, you may not have enough money to invest in the whole equipment. The best way is to only rent what you need. Don't worry; there are companies where you can rent almost anything, so why bother buying something if you'll need it only in the beginning?

Consider crowdfunding

Crowdfunding sites offer you to publicly present your project or a business plan so that people interested in it can invest in your business. Basically, it includes getting help from a lot of people who believe your business idea could work and really thrive, meaning they would also benefit from it. However, as your business project becomes a part of the public information, it also means that truly original ideas you have won't get to be patented. It's better to get advice from an intellectual properties attorney to check if your idea is really potentially patentable before you put it out there in the public.

Start your business as a part-time job

You can also make your business a part-time job, meaning you won't actually quit your full-time job until you are pretty sure that your part-time business has a real chance of succeeding. That way you will protect yourself from serious consequences in case the business fails. Devote yourself to your own business only when you achieve as a steady source of income and a sufficient number of clients.

Final comment

Of course, the point of all of this isn't to convince you that money shouldn't be your concern at all or that getting money for starting a business is like ordering a coffee. It's advisable to be cautious with money and to not get carried away. But it's wrong to give up on the idea of having your own business just you think it's impossible for an ordinary person.

Guest Author

Neil White

Neil White is a student of digital marketing, who likes to travel a lot. While you are reading this he is probably somewhere other than where he was yesterday.