4 Tips To Fund Your Startup Business
Lack of money or cash flow can put a company out of business, but it also stops many more creative entrepreneurs and startup organisations from going into business in the first place. There are many reasons why companies fail to get off the ground, and often a lack of funds is at the top of the list. Here are some ways you can help your dream come alive by self-funding your business without being forever indebted to the big banks.
We have all heard the story of the tortoise and the hare; but, when it comes to business, we are often in a hurry to open the doors and bring in the customers. You don’t have to be, however! Starting small will help you create a business that is sustainable. You don’t have to borrow big initially or even wow the crowds at the beginning – you just have to focus on small progress over time. Start with a handful of followers and hone your craft carefully paying attention to the smallest of detail. Your future supporters will thank you for it, and you will learn a lot about customer service and sustainable growth in the process.
There is absolutely nothing wrong with owning a small business. It allows you to practice sustainable growth and really become an expert in your craft. Foster all relationships with the customers you have and get them coming back for more. You only need a few products or services to get the ball rolling. Even if your dreams are big, staying small for longer doesn’t mean that you won’t grow in your own time and at your own pace. Build up your cash flow bit by bit and make sure that the money that is coming through the doors is pure profit, rather than money which is being paid towards a bank loan.
Keep your day job
Many successful entrepreneurs began their business while working elsewhere. It may have started as an idea which naturally evolved while they were earning money from another company and that’s totally okay. By cutting down your expenses and saving, you can take money from your day job and put it towards your startup business. When you have enough money and a few customers under your belt, you will know when the time is right to quit your day job and focus on your own business. Never run before you can walk as it can lead to long-term cash flow troubles and an inability to cover your business and personal expenses.
Work on your reputation
You don’t have to be a big business to take advantage of PR and marketing. Look out for opportunities to be mentioned in articles and try to find people to interview you, even in the beginning stages of your startup business. Each write-up builds up your business credibility and cements you as an expert in the eyes of the general public. Even before you are working in your business full-time, you can build up a list of media mentions and post them on your website. Be willing to say yes to media opportunities as they crop up as you never know what doors it may open.
By keeping your day job, working on your reputation, going slow and staying small for longer, you have plenty of time to look out for alternative ways to boost your cash flow. Keep your ears and eyes to the ground to take advantage of small business loans and grants which can help you in the long-term. But, try to avoid piling on the debt, particularly in the early stages, wherever possible. If your startup business ultimately means that much to you, then you will find a way to get it off the ground.