There are literally tens of thousands of people on any given day who are considering starting their own business because they are sick and tired of working dead-end jobs with no prospect of ever making enough money to invest in the future. Retirement may be a long way down the road, but at this rate, they feel trapped in a life where they live from paycheck to paycheck just trying to make ends meet. These are the people who know that the only way up is to find a way out and many are motivated to make their own way out of this financial bind. So then, can you start a business with no savings? The answer isn’t quite as cut and dry as you might think. However, yes you can under certain circumstances. Here’s some of what you need to know.
There Are Legal Fees to Consider
The first thing you need to know is that if you are going to start a business, you will most likely need to get an occupational license, register your business as the kind of company you want to run (i.e. Sole Proprietorship, LLC, etc.) and then you may need business insurance. Depending on exactly what it is you intend to do, insurance may be a requirement. Each state has different requirements and fees and then there are county and municipal fees which may be payable upon starting a new business. Do you have enough to cover these fees? If you have no savings, the answer is probably not. Even so, there are ways to work around that.
Begin With a Solid Business Plan
Since you will need funding of some sort, the first step to take when starting your own business is to draft a solid business plan. Whether you are seeking financial backers or something like unsecured business loans from Lending Express, any financier will want to see how you intend to make the money to pay them back. Even loans are considered an investment in the future of your company, so you must learn to write a business plan that shows how you intend to organize your company and how you can then realize a profit great enough to pay back any loans while making a profit sizeable enough to stay in business.
How Much Investment Capital Will You Need?
One thing you might seriously want to consider is that old cliché, “Don’t quit your day job just yet.” Bear in mind that besides the startup costs you will encounter, you must keep a roof over your head and food on the table. While you very well may be in a dead-end job with nowhere to go, it pays the bills while you work towards building wealth. Perhaps you could start out slowly on a part-time, work-from-home basis in the beginning. Yes, it will be hard work, but you can keep the bills paid, if nothing else, while you launch your company. Once you have a solid foothold, it’s time to give notice. Remember that other cliché as well – ‘don’t burn your bridges before you cross them’. If you quit your job prematurely, the door may be closed for re-entry.
If you have established any kind of credit and are able to procure an unsecured business loan, then yes, you can start a business with no savings. The going may be rough, especially if you are no longer employed, but it can be done. Will it be easy? That’s up to you and the effort you put into it but be aware that at the end of the day, you are your own boss and you can determine your future. Your own business is not a dead end job and that’s the bottom line.