You may have been having some difficulty procuring a business loan for your start up. In difficult economic times this happens frequently. But that doesn’t mean you cannot start that business you always wanted. Ask yourself if you really need a business loan for your start up.
The first thing you may have to do is tighten your budget at home. You can’t start out if you have zero credit and have a bunch of debts and maxed out credit cards. So look at your finances right now. Are you living as modestly as you can? Are your bills paid and up to date? Do you have anything to fall back on in case of emergency?
If your reasons for starting this business are sound, and you have the support of family and friends, you should then make a realistic list of what your estimated start up costs will be. Then it is time to start paring down the list to make it more manageable. You can start your business on a shoestring if you get your finances, without loans…even from family.
The easiest way to do this is to start as small as possible. More than likely, you will have to start your business in your own home. You can use a basement, garage, or even just your home office, if it is a service connected business or an online business. If necessary, set up a desk and file cabinet in a corner of the bedroom or family room. Make that move to a storefront or an office building after you have regular money coming in.
You need to start with very low budget advertising. Word of mouth is the cheapest and one of the most dependable ways to advertise. People trust the recommendations of their friends! And don’t forget business groups like the Chamber of Commerce. For a yearly fee, you will get lots of chances to network, meet the right people, and advertise your business.
Go to every meeting, gathering and party with plenty of business cards and any brochures or flyers you have invested in. If a sample of your work is easily transported, bring that, too. You cannot be shy about this…get the word out whenever you have an opportunity.