It isn’t a lie when people say that getting funding for your business is difficult when you don’t have savings. Nonetheless, while it’s difficult, it’s still possible. Not without hard work, risks, and a lot of research.
Here are some business financing options you may want to consider to finally start and grow your small business.
Savings
This is still the most viable option of all. But we’re not saying you have to have a lot of money from the get-go. You can start small by setting up a small shop selling street food, pre-loved items, online services. You can also venture into franchising, or just go for the pure saving up for it route for at least a year.
The whole idea is to start from somewhere and let it grow.
Liquidated Assets
Check on all your assets. Those with depreciating value can be sold so you have additional funds for capital. Cars are usually the best option because their value easily depreciates. They’re also easier to sell compared to houses.
Your other options are jewelry, gadgets, designer bags and clothing, limited edition merchandise. You can even go as far as selling vintage furniture or items you’ve inherited from family.
Loan from Family and Friends
Although it’s usually best not to mix personal with business, there are times when asking your friends or family for a loan is the only option for you. Our tip is to have a concrete, well-thought, and detailed business plan and present it to them. Act as if they’re actual investors you’re in no way related to.
Also, make sure that whatever you’ve agreed upon will be followed through to the end.
Bank Loan
Taking out a bank loan is a pretty simple process. You just need to choose which bank you’re interested in, choose from their loan offerings, and follow their procedure.
We have a lot of loan offerings you can choose from. You may contact us or browse through our website.
Government Loan
The Social Security Service (SSS) offers loans as well. Make sure that you’ve consistently been paying your SSS dues to be eligible to loan. If you’re going for a business loan from them, eligible borrowers are:
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- Single Proprietorship
- Partnership or Corporation
- 60% Filipino-owned
Aside from SSS, you can also avail of the loan from Government Service Insurance System (GSIS). Just make sure to do your research on their requirements before opting for this option.
With all these options presented to you, you probably already have a favorite. But you can also choose to mix and match some of these options for a bigger capital. Just make sure your business idea is intact and that you’re willing to work hard and take risks. Good luck!