Some businesses need loads of cash to get off the ground, while others only need a little bit to keep things going. However, every business needs at least a little cash flow, no matter how much that is!
Whether you need to purchase materials so you can start a creative business, you need a loan so you can apply for a spot at a popular tradeshow, or you need thousands of dollars to hire new employees and expand into a professional space, it’s important to know how to get the money you need to grow your business.
Here are four ways to do just that.
Ask Friends and Family for Help
Your friends and family want to see you succeed. That makes them great lenders, especially since it’s easier than ever to send and receive money.
Use a money transfer service, like Remitly, to allow your family back home to send you cash for your business or ask a friend if he would be willing to loan you the money you need to take the next big step. It is a great strategy because your friends and family want to see you succeed, so many of them may be willing to give you the money needed to do it!
Get a Loan from the Bank
Back in the day, if you needed the cash to start or expand your business, it meant turning to the bank. It remains a good strategy today.
Asking the bank for a loan can be a great way to get the money you need, but it takes a lot of preparation. It includes comparing loans between institutions, knowing if you will qualify, and creating a business plan that makes the lender feel confident that you will repay the loan.
Turn to Crowdfunding Websites
Technology has made it easier than it has ever been before to turn to real people for help instead of always turning to an official institution, like a bank. From getting a ride to help moving, apps connect real people to real people, and they can connect you to people who want to fund your business too.
Some of the best crowdfunding websites include:
Some require certain funding levels to be reached while others provide investors with a stake in the company. Make sure you find the site that’s right for your business before you create a profile.
Take on a Partner
There are a lot of things to consider when it comes to taking on a partner. However, if you find someone with the funds who has an interest in your business, it can be the quickest, easiest, and least complicated way to get the money you need.
There comes a point in the life of every business when extra funds are needed. Whether it comes before your doors open or later on down the road when you want to expand, it pays to know a few different ways you can get the money you need for your business.