You do not always need a lot of money to start a business and keep it running. Actually, sometimes you can get started with little to no funding. Yes, you heard it right! Well, starting a business without money might sound like a far-fetched idea, but it is not impossible.
In this post, we will cover:
· How to start a business without money
· Which are the ventures you can consider starting?
· How to choose the right business idea
· And, how to move from idea to implementation phase
No doubt, money is mandatory to start and scale any business when it comes to start and scale any business. You may also need partners, investors and a solid business plan on how you are going to use new business funds to flourish. But at the initial phase, you start out small. Even better, you can start out as small as you like.
Suppose, you are planning to open up a storefront to sell your hand-crafted wares, start by selling them to your friends and family. You can also build up a reputation and get initial feedback. Then, you can sell them on a third-party website online. After that, you can move on to hosting your own site and store. You get the idea.
Here is the process on how to start a business without money;
Keep Your Current Job
Start your business as a side business, and keep your current job to save yourself from the worry of not knowing how you will pay your mortgage and from dealing with mountains of potential debt. It is going to be very tough, but you need to play safe. When your new business begins to pick up steam, you can gradually make the transition from a full-time employee at your old job to a consultant or part-time worker.
Come Up with a Business Plan
You should have a complete business plan focused on how you will be making money. The goal of any business is to make money- get a detailed plan for how to do this before you embark on your business venture.
Your business plan should include everything related to your business plan from your manufacturing cost to selling price, your team description, unique factors and more.
Ask Yourself What You can do and Get for Free
When you are in the initial stage of business, it is easy to come up with a list of obstacles standing in the way of you and launching your business. It is often tougher to come up with a list of opportunities that are right before you. If the thought of starting your business without money scares you, stop and reflect on what you can do without right now.
Understand the Essentials to Start Business
What’s essential to your business? Do you need a well-designed and developed website to begin your online store? Or is it possible with a Facebook page also? Or, could you sell your products on Etsy also?
There are a lot of free resources on the web that you can use. And, your journey to how to start a business without money starts with making a list of what you need for your business and then researching free alternatives on the web. It might take time, and perhaps even require you to learn some extra digital skills, but you will be able to save the money you need the most.
Make the Most of Your Existing Assets
Try to use the resources you already have when you are starting a new business without money. For instance, make your everyday company car. You can also turn your garage into a workshop.
If you have a house, use it as the initial site of your business instead of renting an office. This way, you will be able to save the money you would otherwise have spent on rent.
Build up Six Months’ worth of Savings for Expenses
See, tapping into your savings account is not the ideal situation at all. Yet, this is a common practice among entrepreneurs. When working on a business plan, be clear with yourself about how much you are ready to spend and how much revenue you are likely to bring in. Then, be realistic about how long it will take before you start making profit from your business. Usually, it takes about at least six months before you start seeing any cash flow.
Make a goal for yourself to save at least six months’ worth of living expenses so you can devote yourself to your new business.
Make Proper Staffing Plans
It is expensive to pay your staff, mainly when you want to hire well-trained professionals. In the beginning, keep your staff as small as possible to minimize expenditures. The SBA recommends not spending any more than about 50% of your profits on employee wages.
The best-run business can fail, if nobody knows it exits. Here is your chance to make up for a lack of capital with your own hard work- if you cannot afford to run TV ads or rent billboard space, use some affordable methods like printing off flyers in the neighborhood.
Visit door-to-door advertising your business in the neighborhood. Also, make your own banner to hang from the front of your business. Social media is an effective way for a small business to represent itself to its customers online. Make an account on Integra, Facebook and other social sites and share posts talking about your brand. Best of all, this is free for your business to join almost all major social sites. Do everything that you can do to get the word out about your new business.
Take Financial Help from Your Friends and Family
To question how to start a business without money can be resolved by asking your friends and family for extra funds. Keep in mind that you are not asking for charity. You are not asking your friends and family to support your wacky business idea. Now, you have proper planned things and now your dream business just needs some funding. That’s why you are looking to those closest to you when making your pitch.
You can also use your friends and family as multi-layered resources. Try your sales pitch with them.
Find Out about and Woo Potential Angel Investors
You have probably heard of angel investors, and with good reasons. They mainly come into the game when it is time to scale your business beyond you, yourself and the handful of loved ones who have bought in. Angel investors are mainly among the first people outside the company to invest in a business.
Unlike outside firms or other venture capitalists, angel investors put down their own personal funds. They can also make for the best kind of mentors, since many are former/current entrepreneurs themselves.
Apply for a Small Business When Required Extra Cash
Need for more capital and have been operating on a shoestring budget, consider applying for a small business loan. Banks and online lenders offer a variety of small business loans to people who are looking for extra cash flow or investment funds. You can generally get more favorable terms with a traditional bank.
In case you are not looking for a lump sum loan amount, think of availing a business line of credit.
Maintain the Work-life Balance
While you are doing all these things, do not forget to enjoy your life. Even when you are starting a business, live life with a sense of balance, even when you are starting a business with barely a cent in the bank. Losing your perspective in life will make you poorer in the long run. Do never miss your night’s sleep. Spend time with your family, your hobbies and of course, yourself.
If you want to start a business, you can do it today. If you want to find a reason not to, you will find thousands of excuses. Learning how to start a business with no money is not that hard. Furthermore, today, you can learn how to start a business without money sitting at home.
Starting your business is not an easy piece of cake, and it is not because of the problem outside but the resistance inside. In this modern era, you are at a point in technology where opportunities are all around. All you need to do is look, spot and begin. Let’s go through the best ways to start a business without money and make it a successful venture.
Best Business Ideas to Start With No Money
1. Affiliate Marketing
Affiliate marketing is a great business idea when you want to start something with low or no cost. With this idea, you do not need to maintain an inventory of your own products, and also do not have to take stress about shipping products to customers.
Under the affiliate marketing business, you basically choose a profitable niche for your online business, and you find an affiliate partner who has products available in that niche. Some of the most popular affiliate sites are Amazon.com, Clickbank.com, and CJ Affiliate by Conversant.
If you have the expertise or a passion or interest for a subject, you can easily start making money with a blog. With a service like Blogger, starting up your blog is completely free. You can also create your own site and secure your own hosting for a low price that is generally the route people recommend.
If you think blogging is just about writing then you are wrong here. Written blog is just the beginning, you can also post photos, videos, and links to other sites and you can even repost news and other articles.
3. Logo Design
There are a lot of graphic designers out there but not so many people specializing in logos. But in this digital age, having a good-looking, unique logo is more important than ever.
Most businesses these days do not give enough thought to their logo and end up with a weak result. As a logo designer, you can help them create a great logo that can help define their business and bring them customers.
Starting as a logo designer does not need any business set up and a huge investment. You just need to invest in learning this skill and if you are already from this field then this is excellent. You can start from small projects and with time establish a successful business.
4. Craft Classes
A neat bonus of attending a craft class is that not only do you learn something new but also that you get to go home with something tangible from your finished craft project. People generally take interest in taking craft class if you can promote it in the right way. And focusing on what the finished project will look like is one way to get people excited about signing up.
5. Craft Business
Taking craft classes is a great business idea that you can do without money. Besides, you can make money by making and selling art crafts. But to be able to earn money at it, you need to price your products reasonably and allow yourself enough money to bring your product to market.
That being said, there are more markets than even for art-crafts products today. Apart from the local retailers and craft fairs, you can sell them online, on your own website or through third party sites.
So this is how to start a business without money and some of the best business ideas you can start with no money. If you find this post interesting, share it with your friends.
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