SmartCapitalist.com

Short of Money?

Sunday, February 26, 2006
Three Ideas to Raise Capital

If you have a business idea that needs more capital than you currently have, or want to get into real estate and do not have sufficient money, I have three potential solutions for you. These are by no means comprehensive, or even good ideas. They are meant to get the ball rolling so you can come up with something that works for you.

Get a Loan
Prosper.com is a great place to find a loan for your business. Since the people on prosper look at your story as well as your ratios, this might be a good source of funding where banks may have just laughed you out of their offices.

Start a Business
There are many businesses that you can get into with low capital and use to generate capital for your big move. Some simple ideas are landscaping, web design/development, marketing, greeting cards, or t-shirts.

If you know how to sell products, these can be great ways to start your enterprise. If you cannot sell, this will get you better at it. Remember, if you push a funny t-shirt at $6 profit per unit, you can make some decent money to go towards a business. These are not necessarily ways to generate money to live off of, but for investing purposes.

Ebay your Junk
Not only can you get rid of all that clutter, some of it is probably worth something. If you have a lot of "stuff" laying around, this would make you some decent money.

Remember, these were not aimed at making you a living. This was directed towards making some money to invest back into your business. The reason you would want to do this is to have a fund that you can take risks with and not worry about it for food. I wrote this article because it is obvious that with the right business structure, some additional capital can be a real catalyst for growth.