Business plans that I see often show three to five years of projections, demonstrating profitability at the end of so many months of operation. Most every one of these uses an accrual basis for determining break-even, never attempting to predict the cash impact of major items.
Knowing the most common funding options gives you the foundation you need to develop your customized fundraising strategy. So here is a quick(ish) overview of the most common funding types for early-stage startups.
Crowdfunding, sometimes also referred to as "how to get strangers to pay for your stuff," is a relatively new concept. If you're not familiar with it, popular crowd funding sites like Kickstarter or Indiegogo can help people to fund projects that they wouldn't be able to get a traditional loan for.
Retail space... expensive equipment... unanticipated extra costs... these can be significant costs of running a small business. Reducing expenses help maximize the bottom line. Here are some tips on how to reduce the start-up costs of your small business.
Plenty of entrepreneurs have found success with their crowdfunding campaigns. Failure though, is always a possibility—even when the end is in sight and it seems to be a sure thing. Crooked Bottle, an aspiring local brewbub, learned that lesson the hard way.
I think so-called "crowdfunding" is being oversold. Many people seem to think it's going to mean a lot new investment money for U.S. startups. I don't think so. Not yet. Maybe never.
The key to gaining investors is the ability to convince them of your passion and drive to see the success of your one-of-a-kind business all the way through. Aside from that, though, there are some concrete things that look good on paper to investors that make them...
Last month, the Gender GEDI Index—the branch of Dell's Global Entrepreneurship and Development Index focused on opportunities for women—ranked the U.S. first out of 17 countries as a haven for female entrepreneurship. However, as even the U.S. scored only a 76 on a 100-point scale, it's clear that there are still challenges facing women entrepreneurs in this country.
SBA loans are one of the best financing resources for small businesses hoping to grow in the United States. Small businesses who might not otherwise qualify for traditional bank loans can benefit from the SBA's loan guarantee program. The SBA can help small businesses increase cash flow and take on new business.
For many young entrepreneurs with start-up businesses, one of the most difficult obstacles they encounter is raising money. Coming up with capital for your business may be relatively easy...