Overview: Understanding the Funding Process
“Show me the money!” Cuba Gooding famously screamed to Tom Cruise in Jerry Maguire, but it just as easily could be said by many a small business person these days. There is no doubt that finding the money to start, run, or grow a business is more challenging today than in the recent past. But that said, it is still very doable.
Want proof? As you drive down the street, notice all of the small businesses that line the road. Or do a Google search for all of the small businesses in your city. There are a lot of small businesses—in your city, in your state, and in the country. How many? Try 30 million or so.
If they found the money, so can you.
In all likelihood, finding the money you need will require that you tap several resources, not just one or two, as had been the case previously. Let's say that you need $100,000 to start a business. While one loan for the whole amount is possible, what is far more probable is that you might instead use a combination of some of the following:
- Savings
- Retirement funds
- Credit cards
- Friends and family loans
- SBA loans
- Crowdfunding
- Microloans
Financing comes in a variety of forms and as such, if you want to fund your dream you too will need to be creative and resourceful.
