Successful Business Plans

Lesson 8: Funding Your Plan

Self Funding

The vast majority of businesses (close to 90%) are begun with less than $100,000 and close to a third begun with less than $10,000. This kind of money is usually available to the motivated entrepreneur by takin a close look at the personal resources at his or her disposal well in advance. Here are some of the most common self-funding methods:

1. Personal savings and equity
2. Moonlighting/Keeping your regular job
3. Home equity loans
4. Insurance policies
5. Tax deferred retirement accounts
6. Credit cards
7. Keeping operational costs low
8. Customer payments (deposits on account, retainers, pre-paid services, incentives for early payment)
9. Trade credit with suppliers
10. Trade or barter with your vendors
11. Stock purchases and options to employees
12. Employees stock ownership plans
    Print this page
    
    

      1  2  3  4  5