Do I need investors in my new business start-up?
There are three ways to find the capital that you need to start your new business. Businesses start-up every day. Some start up well funded, some start up on a shoe string and others start up loaded with debt. Which one will you be? How do you get the financing you need to start up your business? It really depends on what your capital requirements are to get started. Some businesses will require significant cash outlays before a nickel of revenue comes through the door. Others can significantly shorten that window. Businesses that require significant cash outlays require either investors, venture capitalists or loans to get started. Business that require less cash or have a shorter payment cycle can be financed either personally or through future sales. Future sales?
How do I finance my business with future sales? Ask for it! As you take your first orders, give your customers a great price, but ask for a deposit. While your revenue might be reduced, your ability to finance your own business and not take on partners or debt will pay huge dividends in the long run. Not taking on partners and financing your business yourself is a tremendous asset. Do everything you can to try not to take on partners and the long term benefits to your personal financial freedom is unmatched!
