So, you had a eureka moment, a flash of inspiration, a business idea that sounds too good to be true; despite your best efforts, you can’t see how this could ever fail. All you need is the capital to make it happen and in this short article, we offer some useful information for those looking to fund a business start-up.
How much do you need?
Before thinking about where to source the funds, you need to have a precise figure in mind. Costing the start-up is a critical step and you need to be conservative in your costing; add 20% to the final figure and you have the capital to launch and support the business for at least 6 months. If you are prepared to put your savings into the venture, it is easier to find investors when they see the owner putting in their own money.
How much can you raise personally?
If you can raise 50%, then look for a sleeping partner to come up with the rest; come to an agreement over shares – you run the business and your partner funds the operation – giving you full control of the company. You could make enquiries with people you know, announcing that you are looking for a business partner to fund a project. There are online platforms that connect entrepreneurs with investors, which is often an effective way to find the capital you need.
Online commercial lenders
You could check out the unsecured business loans from a leading Australian lender, they can usually find a lender that is prepared to fund your project and with no questions asked. A low doc business start-up loan is normally processed in a single day and the money is in your account., which is about as quick as you can get.
Bad credit score
If you have a less-than-perfect credit score, all is not lost; the online lender wants to support small businesses and more often than not, the application is processed in a single working day. Once you have the funds, you can implement your business plan and take the first step to a sustainable business.
We cannot over-stress the importance of a good business plan; this document will be your guideline to success and it should cover every aspect of the organisation, from concept overview to 5-year forecasts. The research you need to do will help you to plan a successful launch and with adequate funding, the stage is set for the business launch.