| p>You have your business idea, your business plan in | | | | apply for loans, etc. The web site is a good starting |
| tow, your ducks in a row, and you're ready to get | | | | point before attempting to apply at a bank. The |
| your business off the ground except for one problem | | | | better prepared you are, the easier it will be when |
| - you have no start up capital. Unless you were born | | | | you begin the application process. |
| into wealth and have it at your disposal, then you are | | | | Family & Friends |
| like most small businesses and need a helping hand. | | | | A lot of small businesses raise start up capital this |
| How can you raise start up capital? There are a few | | | | way. Family and friends usually want you to succeed |
| ways to go about it: | | | | and believe in your business. It is wise to treat these |
| Small Business Bank Loans | | | | relationships as real business relationships. Plan how |
| Many financial institutions provide some type of small | | | | you will repay their loans, the time frame, and at |
| business loan program. In order to get funding from a | | | | what interest rate. |
| bank for your small business, you will need a solid | | | | Angel Investors & Venture Capital Firms |
| business plan. You'll have to prove that your business | | | | Private angel investors and venture capital firms work |
| will generate enough cash to make the loan | | | | primarily in the same way. They invest in the equity |
| payments. Each bank's requirements are different but | | | | of your business and expect a return in the form of |
| if you are able to articulate how you will succeed, | | | | an acquisition, IPO, or stock buy back in the future. |
| have decent credit, and possibly a co-signer, you | | | | The key to any of the above methods is to have a |
| may be able to secure a small business bank loan. | | | | well written business plan. A good business plan will |
| SBA (Small Business Administration) | | | | prove that you are serious about your business and |
| The SBA is a great resource that provides | | | | that you can demonstrate the way you plan on |
| information on requirements, credit factors, how to | | | | making it successful. |