“I’ve got this ground breaking idea for a new business, but I have no money!” “Can it be done…can I start a business with no money?”
I get asked this question all the time, asking me what I did, if I took out a loan, all sorts of crazy things!
For some reason some people just can’t wrap their heads around the fact that starting a business doesn’t have to mean going into debt to do it!
You’ve probably had an idea before, something you thought would have been a great business venture, but you just couldn’t get past the numbers of it all so you just gave up.
The things is TONS of people encounter this. People have these great ideas for what could one day be a thriving business, but they just can’t see it happening without some huge source of capital.
While I’m not saying this isn’t true, having a source of capital like investors, sponsors, or a rich family member who is willing to invest in your business wouldn’t be helpful, but this isn’t the only way.
Business doesn’t always have to result in mass amounts of debt to make it happen, some business models are more expensive than others granted, but not having money is not an excuse!
If you want something bad enough, you should be willing to make it happen, at almost any cost, so let’s talk about how we just might do that.
Create A Service
Now this can be almost anything, something you’re good at that someone is willing to pay for.
- Good with working with computers?
- Great at doing hair and makeup?
- Knowledgeable about dieting and health?
These are just a few of the seemingly endless ideas out there. Just think of a skill you have that people wish they had or complimented you on.
If capital is something you need, this is a great way to get the cash coming in.
This can even go beyond just a source of capital. This can become a great business model, if you play your cards right and put the effort forth, you just might end up pursuing this in the long run.
If the customers aren’t coming to you, go to them.
If you have to go knocking on doors looking for business, do it, you’re certainly not going to be spending your time any better waiting for them to find you, go find them!
Everyone wants to imagine themselves the already successful business man or woman and fast forward through the struggle. Grinding it out through the struggle is just a part of business, ESPECIALLY in the beginning.
Yea, that simple, holding some similarity to a service but instead you are making a physical product instead of offering a service.
If you are the creative type this will be a great option to go with.
Your products can range anything from:
- Refurbished antique furniture
- Custom sports decorations
- Custom woodwork, such as coolers, tables, and chairs
- The list goes on and on…
I could literally sit here for hours and not come up with enough possibilities for this. So if you have a skill that you think something creative can come out of it, you should start putting it to use.
You could sell at local markets in your town or even online through services such as:
- Etsy– A huge online market for almost anything homemade, like jewelry and wooden crafts.
- eBay– Need I say more, according to quantcast, eBay reaches to a mass audience of 75 million per month, try and find a local market place that has that kind of reach.
- Amazon– The worlds biggest online e-commerce store, you can either try out their fulfillment program or sell as an individual, and get access to their MASSIVE online customer base. (following their regulations of course)
- Bonzana– Like Etsy, they are a growing online marketplace for homemade goods.
It would be best to follow up and do your research to find what program would be best fit for your type of product, and check your local community, is your product in demand locally?
Perhaps selling online wouldn’t be necessary if you are already making substantial sales locally.
Something as simple as it sounds that could also be turned into something a little more than a capital fund. Simply buying low and selling high, it comes in two forms, retail arbitrage and online arbitrage.
Retail Arbitrage being the physical purchasing of products in store from a retailer such as Walmart, Walgreens, etc. and selling them for a higher price online.
This can be more than just simply buying in store, you can check out re-sell shops, garage sales, thrift stores, and if you’re familiar with the product you can spot good deals and turn around, resale the product, and make a quick profit.
Another version of this would be adding your own spin on the product.
If it’s antique furniture, give it a face lift, if it’s vintage clothing, spruce it up a bit, and then sell at an elevated price above the original purchase. (If your work is good enough this could be something you could possibly build a business around.)
Online Arbitrage is the more common and this is the purchasing of products from online stores also like Walmart, Walgreens, Tesco, etc. and selling them on different platform for a higher price.
With this you can follow trends and recent releases of big franchise hits and plan the products you purchase around the performance of this new trend.
For example: When Frozen came out (princess movie by Disney) it was a massive success with the release of a surplus of merchandise for an eager customer base, those with the trained eye and knowledge knew to stock up on inventory and turn a quick profit on different platforms.
Buy Frozen doll on Disney site for $15 -> Sell on Amazon or eBay for $25 = $10 profit per unit.
You’re going to hear and see this time and time again from almost any entrepreneur when it comes to starting up your first business with limited capital, it’s sweat equity.
This is you and only you taking on almost every aspect of your business if it’s handling inventory, marketing, branding, etc. all of that.
You’re going to have to be prepared to work around the clock to make what you want a reality, saving you money to eventually put back into your business.
All of this hard work and time you put in now isn’t for nothing. You are establishing yourself a brand, something that in the long run will pay out and is essentially increasing the value of your business over time.
Additional Low Cost Business Models
Here’s some additional resources on types of business models I recommend for those of you still looking to start a business with no money.
There typically easy to start up and most need almost little to no upfront investment to get started. Just click the link to check them out.
Start a blog- How Do You Make Money Blogging?
Affiliate Marketing- How To Make Money Online With An Affiliate Program
Entrepreneurial Business Ideas- 21 Entrepreneurship Ideas For College Students
Simple Business Ideas- Simple Online Business Ideas
Wrapping Things Up…
Starting up your first business is going to take some work, and maybe you’re feeling a little discouraged and need to see some proof for yourself, I get it, I’ve been there before.
Well feel free to check out how I did it, if a broke college kid out of his bedroom created an online living for himself did it, you can do it too. Like I said earlier “not having money is not an excuse”.
P.S. We have a serious Taco Bell addiction and the affiliate links on our site lets us order off the dollar menu. Thanks for your support!