Do you want to start a business but not have the money to do so, well can this is even possible
can you do it? We're going to talk about in this training how you can actually start and run
a business with very little capital, and I'm going to tell you how to get the capital you need to get
a startup off the ground. I'm going to show you how to get money even if you don't have any kind
of collateral, I'm going to show you how to get money to fund a startup even if you have severe
credit issues, and I'm going to talk about how you can actually get startup capital without verifying
any cash flow. So even if you're just getting your business off the ground we're going to talk about
ways that will work we're going to talk about the ways to pinch a penny and be able to get a
business off the ground without spending a lot, and we're going to talk about where business owners go
wrong here by actually not estimating correctly the money they're going to need or the time it's
going to take for the business to start generating revenue. This is your success formula to get a
startup off the ground and get the money you need to do so, we got a lot to cover so let's dive in.
So can you really start a business with no money? well kind of look the reality is to
run any kind of business is going to require some kind of capital, and most business owners
are using their own personal savings their own credit cards or 75% rely on family and
friends to get that money they need. So first thing you've got to anticipate there's going to be some
kind of cost to actually get your business off the ground. Now you should sit down and detail out all
the costs that you think will be there everything you need to get your business off the ground
what is your estimate of what it will cost, and I've learned a very important role in business
double that. Whatever you think something's going to cost you double it and you'll more
than likely be closer to what it will actually cost. The second thing is you want to estimate
how long it's going to take for you to start making money, how are you going to start making
money develop your business plan and figure out. How long will it take for you to start generating
revenue to start paying for those costs, and again my rule of thumb is is double the time
you think it will take if you think it will take you 6 months to make your first dollar
estimate it will take a year, and that estimate will put you closer to how long it really takes.
So now that you know that it's going to cost the money to get the business off the ground you got
an idea of those costs, and you have a business plan and an idea of timeline now you have what's
needed to actually get access to the capital you need, so how do you get access to the capital you
need to be able to get the business off the ground, well let's talk about your options. There's 3
main ways you can get money for a business, based on your cash flow, based on your collateral or
based on credit. So you're just getting a business off the ground you don't have cash flow yet which
means a lot of types of financing that can work for you when you do have cash flow aren't yet
available now let's not rule these out, things like PayPal, Square, and Stripe they all have financing
it's really easy to get you can get it regardless of personal credit you can get 10,000 or upwards
of a half a million dollars from those sources if you're processing customers payments through
there. So make sure that you have a business bank account set up make sure that you're processing
credit card payments so you have a merchant account set up start running that money through
your business bank account and consider Square, PayPal, and Stripe great places that make it easy for
you to accept customers payments that also open up phenomenal funding options. If you've done this
then you might not be generating revenue now, but 6 months to 12 months down the road when you
are those options become available even if you have credit issues even if you don't have collateral
even if you don't have credit you can use the consistency of your cash flow to start getting
financing. Now the second way you can actually get money for a business is through collateral this
is called asset-based lending it works really well for brand new startup businesses. If you have an
asset that can actually be served up as collateral to get financing, now what's nice about this is you
don't need to have good credit you can get this kind of financing even as a brand new business and
you get really low-interest rates. A lot of this kind of financing has 2,
3, 4, even 5% interest rates regardless of personal credit so that keeps your
payments low as you're getting your business off the ground, a lot of assets can serve as collateral,
401k, Stocks, IRA's, Bonds, Equipment, Inventory, Commercial vehicles, Real Estate all those kinds of
things can serve be served up as assets and be used as collateral to get financing. Now maybe you
don't have any of those well then let's think about family and friends instead of relying on them to
give you cash to get your business off the ground, maybe they have stocks, bonds, 401ks, IRA's,
inventory equipment you could borrow against theirs, you could use their asset borrow against that
and then use that to get your business off the ground. Now, why would they do that? well think
about it for a second. If I'm going to go to my dad and ask him for 25 grand to get my business off the
ground then keep in mind 75% of business owners get money from family and friends to launch their
business, but if I go to my dad to get 25 grand he's got a sell of stocks he's got to pay penalties on
that he's got to not earn interest on those stocks, but if he were to leverage his stocks to get me a
5% credit line he could still keep the stocks there not pay any penalties and still earn
interest on those stocks, so just an example of how you could tap into somebody else's assets and use
it as collateral, and hey in this example maybe I want to give my dad ownership interest in the
business maybe I want to get him an interest rate so he gets a rate of return. It doesn't have to be
a handout you can actually go to family members, friends, even potential investors, rely on their
assets to actually help you get money to fund your business and the nice thing is is that they don't
have to come out of pocket with the money and they can even earn interest or get some kind of rate
of return where it makes sense for them, so think about any kind of assets you or somebody else
has that can be served up as collateral. Now the another kind of financing is based on credit and
there's two ways you can get this, first of all if you have good consumer credit or you know
somebody else that does that you can use as a guarantor then that means you can get a program
like credit line hybrid. Credit line hybrid is the best funding program I've ever seen for startups you can
get a 150,000 in credit lines 0% rates and a lot of these reports to the
business credit reporting agencies, so not only are you getting up to 150,000 in credit lines
but you're building business credit at exactly the same time. So this opens up another funding option
for you down the road as you start to establish more business credit now business credit is the
other kind of credit you can use because even a startup can start getting business credit cards,
and use those business credit cards to fund the business and here's the best part if you do this
the right way the business can fund itself where you don't even need to rely on personal guarantees
or credit checks to do it, now I'm not going to give you a whole detailed rundown of how to do
this, as a matter fact, we have tons of training on how to build your business credit on our YouTube
channel youtube.com/creditsuite.com but to give you a brief summary you can get started
with starter vendors these places to sell all kinds of stuff marketing, marketing assets, they sell
supplies, office supplies, outdoor supplies stuff that you really need to grow the business.
They'll give you credit right away they report to the business credit reporting agencies
on terms like net 30 or net 60 where they give you 30 or 60 days to pay back what's owed. Once those
start to report to the business credit reporting agencies you can get credit with almost every
major retailer, Amazon, and Walmart, Sam's Club, and Costco, Staples, Office Depot, Home Depot,
Lowe's even Macy's and Nordstrom offer business credit without a personal guarantee and credit check
and let's be realistic, you know if you use this kind of retail credit there's not a lot of stuff you can't buy
at places like Walmart or Amazon. So this kind of retail credit will give you 80, 85%
of what you actually need to grow the business. So you can rely on business credit business credit
alone to help you fund the business, but after you get that retail credit you can start to get
fleet credit cards, for fuel repair maintenance of vehicles you can get auto financing you can
even get computer leases at places like Apple. Hp and, Dell so almost all of what you need to fund in
a business you could use business credit to do. So there's a lot of different ways you can actually
get the money you need and let's not forget grants as well. You can go to grant watch for local grants
or grants.gov for government grants and that's free money that you can actually access to grow
the business. So again all of these options I've walked through will give you the money you need
to get your startup business off the ground. And don't forget as you're getting a business off the
ground to pinch a penny make a dollar go as long as it can look there's always one thing that's
more important to you in a business time or money and in the beginning it's always going to be the
money you don't have a lot of money all you have is time. So that means you might have to do a lot
of things the hard way because you don't have the money to pay people to be able to do those things
for you. So shoulder as much as you can take on as much as you can to keep your costs low
and watch your cost. Software companies you can negotiate with to get lower cost on software make
sure you look at virtual assistants in places like the Philippines to help you get the initial work
done sometimes you might not be able to afford a 15 $20 an hour person in the United States every
single thing before you take on a debt or an expense think about the best way to negotiate or
get that at the lowest most affordable cost, and if you're doing that then you're pinching a penny and
you also need to make sure that you're keeping an eye on your profit margin. Look a lot of people
run a business and talk about the success based on the gross revenue they're generating, gross
revenue doesn't matter, how much you keep in profit does matter, so you need to very early on in
the business. Make sure you establish a profit margin that you want to keep maybe you want
it to be a 20% margin which means 20% of whatever the revenue you actually generate you
keep in profit whatever that is try to set your profit margin and stick to that make sure you
manage your expenses to only be that percentage, so you make sure you have that amount left in profit
that will give you a cushion that you're actually going to need to make sure the business is
successful, don't forget revolving credit is king. When you're growing a business having credit lines
having credit cards you can rely on when you need them is very important you don't have to
be payments on them, if you don't have a balance owed but when you do have a balance owed you can
pay it off and reuse that revolving credit. Credit cards are way easier to get than credit lines
so consider the credit line hybrid or business credit programs to give you access to those and
as the business grows and generates revenue that'll open up credit lines for you as well. So
can you really start a business with no money? it's pretty tough to do but you can do it by watching
expenses and keep the amount of money you need at a bare minimum and we talked about a lot of
really cool creative ways you can actually tap into to get the money you need to be able to get your
business off the ground. And to be able to make it successful to talk about the funding you can get
right now, give us a call for a free consultation we'll tell you all the funding that you're able
to get and qualify for in this moment talk about what you need to do to qualify for even more money.
We'll do a fundability assessment to help you structure and set up your business the right
way to be able to qualify for maximum funding and we'll help you get your business credit reports
with Dun & Bradstreet, Equifax, Experian, review those with you and give you tips and tactics to
build your business credit from scratch it all happens on a free consultation give us
a call 877-600-2487 that's 877-600-2487 you can also email us info@creditsuite.com where
you can schedule your consultation online at creditsuite.com/consult did you
get some value from this? if so make sure you like and subscribe and keep your eye out for
our next training where we talk about more cool ways to get money to start and grow your business.