Most new entrepreneurs are myths seem to believe that they need to have at least half a million dollars to start the company. At least that is the lowest I’ve seen from the angel investment group of us. In fact, over 80% of new businesses are successfully self-financing in the amount less than the equivalent nhieu- usually less than $ 10,000. I affirm this also reduces risk.
Opening a new business with limited budget, without the participation of investors known as self-reliant, and that’s the only way if you do not want to spend months to prepare offers to attract investors and visitors walk around delivery. Also, with the self-reliant, you will not be pressured and risks from investors calculated taking into account all the countries go their retreat.
Over the years, I’ve accumulated a list of common startup operations of entrepreneurs have attempted to avoid these mistakes and comfortable starting a business with a large amount of cash of a rich uncle or a important investment.
1. Faithful to businesses you know and love
Opening a new business in the field that you do not have any experience because look it seems there is great potential , is the formula certainly fail . There are unwritten rules in every business sector , and the lack of industry knowledge will make you pay dearly . Good relationships can help get things done with very little money .
2. Search team members work more reasonable interests is money
Those who work with you to understand that their failure is the failure of the company, not just focusing on the amount of expectations ahead. Management of official staff and contract staff is a difficult and expensive, and anyway, the new business is not good at this. Reasonable interests is your best guarantee for commitments and concentration.
3. Develop a plan based on your budget than those treaties
Entrepreneurs starting a business without a plan to spend more money. Similarly, those who feel forced to catch up with the media will spend most of their time to wooing investors. Most investors agree that too much money will lead to poor spending decisions and take control.
4. Delaying the urge to find office work until you have customers
The start-up team members work remotely is very popular today and can be productive with smartphones, video and high-speed Internet. The office space takes a lot of deposits, requires equipment, personnel management expenses and travel. With a website, your company look as great as any of its rivals.
5. Requirements before commissions and deferred payment provider
If your solution has real value, future partners will offer discounted commissions and many suppliers and partners will present difficulties to understand your cash flow. You can also change your service obtain their services. Nothing to be ashamed of when required. Be early to practice your sales skills.
6. Negotiations inventory management with suppliers and distribution
For many products, suppliers or distributors will direct your product to eliminate inventories. For these services, do not hesitate to request an advance payment to balance your expenses. Business terms can be negotiated, but many entrepreneurs are afraid to give cash back request.
7. Choose a business model to optimize revenue streams and your time
The common examples include monthly fees paid in advance and the optional service fees and product sales once. Another example is the use of e-commerce sites, rather than to facilitate retail sales 7 days / week at any hour around the world.
One of the best ways to cut your budget and your risk is to use social-network which is free to see if you have a compelling solution before you invest time and resources my limited on creating products or services. Social network marketing is also a valuable but inexpensive because no one will buy a solution that they can not find or do not know anything about it.
Limited budget can watch as your biggest drawbacks or are you motivated to do things more creatively. With the company began, a large part thuwongr for creativity and innovation. The major competitors are quick to copy the traditional solution with minimal risk. Let your limited budget led to victory, not disaster.