If you’re the kind of man who would rather skip the drudgery of the 9-to-5 office job and carve your own path in life, there are few better ways to do so than by starting your own business.
Becoming an entrepreneur means being your own boss, setting your own hours, and never having to compromise on your dreams. That being said, starting a successful business is easier said than done.
It takes courage, intelligence, passion, and, above all, money. Getting the funding together to pursue your passion can be difficult, but it is far from impossible. Here are five ways to finance your business empire and follow your passions.
1. Business Loans
Consider this the ‘traditional’ route. A vast and diverse network of funding programs and bodies exist to help entrepreneurs enter the world of business, often with very favorable lending terms. You can hit up the Small Business Administration to see the full gamut of state-backed business loans, or you can consult your local banks to see what loans are on offer. Remember, you will need to convince them your business stands a decent chance of profitability, so don’t forget to write a killer pitch deck for them.
2. Self-Funding
The self-funding route is often the most attractive for entrepreneurs who want to retain total control of their business and of their vision. If you manage to fund your business yourself, you don’t have to answer to anyone. It’s worth noting that you don’t need access to vast amounts of ready cash or liquid assets to self-finance. You can also release some equity by, say, remortgaging your home. By using a free mortgage advisor service like Trussle for a remortgage quote, you can gain access to the extra capital needed to jump-start your business dreams today.
3. Angel Investors
In the world of business funding, connections can be everything. Investor angels are often wealthy entrepreneurs with high amounts of personal capital, or individuals backed by funds that are willing to invest in the businesses of people whose ideas sound successful. If you pitch successfully to a business angel, you could not only receive seven-figure funding, but also access to all of that angel’s business expertise and professional contacts. It’s worth noting that angels will often take a controlling stake in any business they invest in, meaning less freedom to make your own decisions.
4. Crowdfunding
Finally, you could simply appeal to the public for the funds you need to start your empire. There is plenty of evidence to show how successful the crowdfunding approach can be. A look at the crowdfunding platform Kickstarter’s most funded projects in history reveals countless business ideas that the public liked enough to contribute to. Rather than a single investor, crowdfunding means that thousands of people might be counted as investors in your business, which means that the pressure to deliver can be intense. Nonetheless, this is a low-risk and potentially rewarding way to get investment for your business idea, one that could give you the confidence to succeed.
With these business financing strategies, you could be the next Elon Musk or Bill Gates.