Every prospective entrepreneur comes to the point where he must raise initial funds for his new business project. Raising the required business capital for a new business is often a difficult task for hundreds of potential businessmen out there, but not to worry – you’re not the only one facing this problem. You can learn a few things about how to raise capital for your business project here and now without any hassles if you’d only complete reading this piece.
Here’s 7 top ways to raise quick funds for your business projects:
Do you believe so much in your business project and think you can get others to invest in it? Well, it is possible to get perfect strangers from around the world to give you money for free to finance your business project through crowdfunding sites. Crowdfunding is the idea of getting monetary contributions from people who like your business idea and want to help you to kickstart it. Top crowdfunding sites include gofundme, kickstarter and indiegogo among others.
- Business loans
When you nurse a viable business idea, you must get your friends and family to believe in it. When they do, you can raise loans from them. You won’t need to pay any interests on these loans and you won’t be subjected to strict conditions that online lenders or bankers give to customers. Meanwhile, you can also approach online lenders or microfinance banks if you think that is the best route for you to take.
- Property sales
If you have unused property that is gathering dust in your garage or attic, you could put these up for sale to raise money for your business. Old cars, unused furniture, outdated black & while TV, discarded clothing and other personal belongings that have not been used in years can be sold off at auction sites or to people within the neighborhood to raise capital for your new business. Look around, go to your backyard and check your garage and attic and you’d find something that needs to be sold off.
- Personal savings
If all else fails, you can raise business capital from your personal savings. In fact, personal savings should be the first place to look to for personal projects. If you’re planning to go into private business when you leave school or paid employment in the next few years, then you must start putting money aside to finance the proposed business when the right time comes. If you can manage to save $100 per month over a 5-year period, then you can be rest assured to have a decent sum put aside for business when the time comes to launch out on your own.
- Games and lotteries
This is not the best way to raise money for business, but who can tell? Some people have strange lucks that favor them at risky ventures such as bets. Horse racing, casinos, lotteries have happened to turn the lives of people around and who says it can’t be you? Betting is never a good thing and must not be encouraged, but things happen…and sometimes for good in rare occasions when you may need external help for your proposed business.
It is easy to get people to invest in your business if you’re ready to partner with them. Under a partnership agreement, you can get as many people as you desire to invest in your business idea if you’re set to make them part of your business. You must understand that sometimes, you can’t walk it alone and must partner with other like-minded people to launch your business and get things rolling. Such partners or investors will share from the profits from your business and supervise some part of it.
Do you know it is possible to raise money from customers for a product you have not even produced? Apple gets thousands of pre-orders and payments for iPhones and smartwatches that have not even left the factory, while automakers get pre-orders for new car models that are still in the production line. If you believe so much in your business and advertise it enough to raise awareness, you can get people to make down payments that could be used to develop your products and even kickstart your business.