So, you have always wanted to own your own business and you have just had the perfect idea for a potentially successful company. That’s great – congratulations are, of course, in order! But what about finding the funds you need to start a business? According to estimates, starting a business requires an average investment of $30,000 or $40,000.
Yes, some smaller businesses and start-ups only require a minimum investment of $1000 or less – but they might require a larger time investment to yield the returns you are expecting.
So, should you wait for these funds to just come around? Luckily, there is a lot that you can do to lower the initial investment necessary to take your business off the ground – even if you are doing so on a shoestring.
Opt for a Virtual or Online Business
Starting an online business isn’t any easier than operating a brick-and-mortar shop. After all, the competition is fiercer than ever and costs might still be high. But, while there are plenty of mistakes to avoid when creating your first eCommerce business, the overhead costs can be kept low more easily than if you were running your own physical shop.
For example, you won’t have to worry about paying rent every month, and you can reduce the costs associated with hiring an entire team of in-house professionals.
Consider a Franchise
Opting to take part in a franchise is an excellent choice for first-time entrepreneurs. Indeed, you might have the funds to open a business, but you might not have the marketing or business running knowledge you need to succeed. In this case, franchises have already in place a solid reputation and customer base you can leverage.
What’s more, opening a franchise might be an unmissable chance to enter a thriving sector. For example, you might leverage a business opportunity in home care and take the next step up the career ladder.
Outsource Your Non-Core Tasks
No matter whether you are opening a brick-and-mortar business or an eCommerce company: your largest expense will be the one associated with your personnel. Indeed, you will need to find enough funds to hire, train, and manage your in-house teams.
Undoubtedly, your employees are your greatest asset – but as the owner of a young business, you might not have the funds to sustainably maintain such a team.
In this case, outsourcing your non-core tasks – such as marketing, sales, shipping, and logistics – can help you tap into unlimited knowledge by only investing a minimum amount.
Start a Side Hustle
Many entrepreneurs find themselves having to choose between starting a business and keeping their current full-time job. While some are more risk-tolerant, not everyone can deal with the uncertainty of not having a fixed monthly salary.
Luckily, you won’t have to make such a drastic choice! If you are looking to give your business idea a chance while keeping yourself and your finances safe, start by working on a side hustle. After all, side hustlers take home between $500 and $750 a month from their side hustle – a decent amount you can make use of until your side hustle becomes your main business!