FINANCING YOUR BUSINESS

If you're thinking about trying to finance your business yourself, begin by doing a thorough inventory of your assets, you're likely to uncover resources you didn’t know you had. Assets include savings accounts, equity in real estate, retirement accounts, vehicles, recreational equipment, and collections. You may decide to sell some assets for cash or use them as collateral for a loan.

If you have investments, you may be able to use them as a resource.

If you're employed, another way to finance your business is by squirreling away money from your current salary until you have enough to launch the business. If you don’t want to wait, consider moonlighting or cutting your full-time job back to part time. This ensures you’ll have some steady funds rolling in until your business starts to soar.

You can also consider sourcing for funds from government initiatives like the Bank of industry, Bank of Agriculture and many more.

It is also possible for you to join credit cooperatives societies, these organisations are majorly formed to provide credit facility to their members at an affordable interest rate.

Leasing of facilities and equipment is another reasonable way to go into business, this enables you to reduce the cost of investment to the barest minimum.

Another option is sourcing for fund from microfinance and commercial banks, they usually attract interest rates but it is not the worst option for business owners who are trying to invest and make something for themselves.

People generally have more assets than they realize. Use as much of your own money as possible to get started, remember, the larger your own investment, the easier it will be for you to acquire capital from other sources.