If You Don’t Start Your Business Soon You’ll Hate Yourself Later! – Sewing Machines Los Angeles

Many people have dreams of starting their own small business but get discouraged when they start focusing on their lack of start up capital.

While traditional banks in the United States often will not underwrite loans for under $35,000 to a new business owner with little capital of his or her own to invest in the small business start up, there are many other sources of funds you can tap to get your business off the ground.

Microloans are one such source. These are loans made by micro-lenders typically under $35,000. Some micro-finance organizations write business loans for as little as $500 US, an amount large banks would not waste their time processing. Many of these organizations consider non-traditional forms of credit rather than depend solely on your credit report.

Business plan competitions are another source of funding. Many of these competitions are offered by business schools. You do not need to be attending the particular university but someone on your team has to be a current student or alumni. Private companies sometimes sponsor these contests where the prize is start up funding. Recent examples that come to mind include the Visa Breakthrough Challenge. American Express has also sponsored similar competitions in the past.

Finally, business are another option to consider. Contrary to infomercials broadcast late at night claiming that there are thousands of dollars in grant money just waiting to be claimed by us to start businesses, the Small Business Administration’s website clearly states that the US government does not provide grants to individuals. Don’t despair however, many private organizations and local/state governments offer some types of grant assistance to prospective business owners. Contact your state’s Small Business Administration’s local office or website to see what’s available.

Get busy researching the options available to you and apply,apply, apply. If you are determined to get your business off the ground, do not let lack of funds stop you. Applying for the types of funding listed in this article, helps you focus your ideas clearly and forces you to prepare some type of business plan. Though this requires careful research, organization and planning, you can locate various sources to help fund your startup. Visit my blog for other great ideas and funding sources.