To launch any new business, or expand your current business, you need start-up capital. However, before you apply for loans or credit cards, consider some not-so-traditional funding approaches; you may be surprised by what you find.
CNN profiles six start-ups
that came up with creative ways to raise the funds they needed, even in tough economic times. The list includes San-Francisco based AirBnB, which leveraged the sales of custom-made cereal boxes to finance their business. However, if breakfast foods aren’t your ticket to success, some of these sites just might be:
- Kickstarter connects people and ideas to create funding for creative projects and start-ups.
- Prosper.com is a peer-to-peer lending site for entrepreneurs.
- TechStars provides funding, mentoring and networking opportunities for tech-related start-ups.
Another tactic, instead of traditional bank loans, is to focus on capturing grant money. Enter competitions that award grants for promising projects and ideas in your field. Or search grant-making foundations and corporations through FoundationCenter.org
. You can also consider applying for grants issued by federal and state governments. Start by searching your state’s economic development agency website. Many of these agencies offer grants to attract new businesses or help existing firms expand, train workers, or become more environmentally friendly. Often, governments will give priority to a minority-owned, woman-owned or veteran-owned business, so it’s a good idea to find out if you qualify.
In the end, it takes money to make money. Here at WorkingPoint, we can help you manage your finances, and offer innovative ideas to help make your business a success.
- The WorkingPoint Team