Wednesday, May 27, 2015

15 Creative ways to finance a business

I came across this article recently, it provides a great rundown of funding sources for startups. I guess local investors would fall into the Angel or Venture Capitalist categories.

One of the categories that I found interesting was to fund a business with a 'side business.' There is one example given of a person who does work as a hiking guide to get money to invest in his online business.

The 'winning a contest' segment was also an eye-opener. If I think about it though, I can remember a lot of innovation based contests where people won from $10,000 to $100,000. I would imagine though that this money is not 'free.' it can take a lot of effort to put these presentations together.

Enjoy

15 Creative Financing Methods for Startups

Katherine Arline, Business News Daily Contributor | May 04, 2015 02:43pm ET

For many would-be business owners, financing is one of the most intimidating and challenging parts of the startup process. Some entrepreneurs may not have the cash they need on hand when they want to launch, and bank loans or investments can be difficult for brand-new small businesses to obtain.

If you can't bootstrap your business, there is a wide variety of both traditional and innovative funding sources you can draw from to help you get started. Whether your goal is to open a local boutique or to launch a tech startup, one of these options is likely to be the perfect fit for your next business.

Small Business Administration loan. The Small Business Administration (SBA) offers two types of loans that can help entrepreneurs get the capital they need to start their business: the 7(a) guarantee small business loan and the 504 fixed-asset small business finance program. The 7(a) guarantee loans are more common for small businesses. Prospective borrowers can apply for these loans at banks that participate in the SBA loan process. But this may not be the right choice for you if you don't have a proven track record. Chuck Evans, co-founder of Prudent Lenders LLC, noted that the SBA typically looks for applicants who are two years into the business cycle and generating cash flow. [CONTINUE TO MAIN ARTICLE]

Tuesday, April 14, 2015

[VIDEO] I share the story of a client who used credit cards to finance the purchase of a small business.

I share the story of a business buyer who used a credit card to finance the purchase of a small business. What other creative stories have you heard of for using credit cards and taking advantage of points? BTW to learn more about using credit cards effectively in business read Credit Card Advantage. Buy it here: http://gumroad.com/l/jgfa

The Invest Local Book blog is all about small business, franchises, local investing, home economics, small business systems and borrowing money for your business. It's full of great content and I look forward to seeing your feedback. Follow me on FaceBook at www.FaceBook.com/DBarnettMoncton.

Business and Asset Values: How Owners, Buyers, Sellers, Lenders, and Advisors Should Think About Sma

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