Essay Financing a Small Business

Definitions of entrepreneurship almost always involve the risk taking within the business world. Businessdictionary.com states “The capacity and willingness to develop, organize and manage a business venture along with any of its risks in order to make a profit.” Why we want individuals to create new companies or even to grow products and ideas within an existing company is beyond the scope of this paper be we are going to assume that over all the outcome of this behavior is good for the organization, community, or country. There is little dispute that the United States was known for this behavior over the last two hundred years and it may be something that we are starting to lose. At least it is a behavior that we want to continue to foster.

First of all, why would you want to start a business in the first place? Most people think that the reason for starting your own business is so that you can make a lot of money and retire rich. This is a great idea but it is not the real reason that people take the risks of entrepreneurship.

Starting a business means involvement of lot of funding no matter what type of business it is. Business start up loans grants are very helpful for those who wish to start their own business but lack proper funding to launch them. If you have a good business idea and you have also surveyed the market to foresee the future of your business, you can apply for these loans or grants. The first thing is that whether you believe in yourself and success of your business idea or not. Your belief will get more weight if you take a genuine survey of the market and find out what could be the future performance of your business type. Once you are sure about the success of your business, you need to make a good business plan. This is one of the important parts when you have decided to apply for the business grants. Also, search for the grants that are capable of fulfilling your business needs and will help you accomplish them. There are various organizations that offer grants for new businesspersons along with the government agencies. Make use of all the resources and research the availability of the grants. Apply for all that you qualify increasing your chances of getting approved. Finding the right grants is the most important step and you should invest some time and effort in this. The main intention of business start up loans grants is to provide necessary moral and financial support to new entrepreneurs so that they are able to get back to their feet and start earning their living.

Figure out how much money you need. Starting a business can cost a lot of money, and most entrepreneurs don 't turn a profit for the first year or two. Here 's what to consider:

Entrepreneurship is the willingness to take risks to create and operate a business. An entrepreneur is someone who sees a potentially

The small business I envision to own is a cleaning company which basically cleans offices and homes. Often the hardest part of starting a business is raising the money to get going. I may have a great idea and clear idea of how to turn it into a successful business. However, if sufficient finance can’t be raised, it is unlikely that the business will get off the ground. I will therefore invest my personal cash balances into the start-up. This is a cheap form of finance and it is readily available. Investing my personal savings will maximize the control I keep over the

1. Outline the financial start-up needs for this business. Consider such items as cash, equipment,

A common mistake by business start ups is that they have unrealistic of revenues from sales. Moyak.com says, “ If you don't have enough cash to carry you through the first six months or so before the business starts making money, your prospects for Success are not good. Consider both business and personal living expenses when determining how much cash you will need.”

If I don’t have the enough money to keep my company going for the first few months until I start to turn a profit this will spell the end of my venture. This is a real issue for me because my core employees are going to expensive to pay because I need them to be experienced. I might have to not hire as many employees as I have originally planned for to try and avoid this issue. This would lead to me taking on more roles as the CEO, which could lead to added stress. Which could also be a reason for the failure of the venture. To prevent this I also could look into ways to try and save money by doing things such as getting employees to work from home so I could downsize the office space needed for my company. Also I could ask investors give me their investments in installments rather than lump sums. This would ensure that the money is continuing to come in regardless of whether my company is turning a profit yet.

When considering to form a new business the ‘Starting a Business’ within the Starting & Managing tab is the first and most important place that every individual should start off at. The section helps ease the decisions that are involved in starting a business, most importantly it prompts the reader a reality check to see if starting a business is right for them, ultimately saving time and money. In addition it outlines the whole business structure from writing a business plan and choosing a business structure that will property fit the plan, the process of registering a new business, the physical location, laws involved, business financials and hiring employees. This while information should be known by individuals who plan on starting a business with the hopes of longevity and

Numerous large businesses that are operating today were once started as small businesses. A new business is established to create a good or service that no other businesses have ever created or simply a product of higher quality than existing products, with the purpose of meeting customers’ needs and earning profits. Due to the technological advances at the present time, starting and operating a new business is less laborious. Nevertheless, would-be entrepreneurs should be familiar with the proper approaches to start their businesses.

Despite being an intimidating prospect for most people, there are millions of entrepreneurs in the US. Some of them turn out to be very successful, others, not so much. There are many steps to starting and running a business, but many of them can be easily accomplished simply by filling out some forms, and several small fees.

The small business marketplace is extremely dynamic and the changes are fast. Here are some encouraging facts from the US Small Business Administration on small businesses. There are about 30 million small businesses in the United States and employ just over half of the country’s private workforce. They employ a staggering 40% of high tech workers such as computer professionals, scientists and engineers. More than half of the small businesses are home-based businesses and two percent of them are franchises. One of the most important aspects is the fact that a majority of innovations in the United States come from small businesses.

Starting a small business isn’t easy, but it isn’t impossible. According to the small business administration 99% of all businesses in the United States are small businesses and they employ 80% of the population, so many people have already succeeded in starting a business. But this doesn’t mean that starting a business is a walk in the park, according to Forbes 8 out of 10 businesses fail within the first 18 months. There is a lot of hard work required in starting a small business and many steps that should be taken to ensure that a small business would be successful.

Finding the money to start their small businesses is usually one of the first problems that entrepreneurs face. For most people, this process can be hard and very frustrating. What makes this process frustrating is a combination of wrong expectations and