How Much Money Do I Need To Be An Entrepreneur?

Every business is different, but almost all of them require some kind of capital (money that you start with, or have to run your operation) to begin the journey. Whether it is simply enough to buy your own website domain to begin marketing, or maybe you need stock to start selling, the reality is that it takes money to make money.

The first thing we suggest is that you focus on what is absolutely essential. If you have a product or service you need to focus on selling to establish cashflow (money coming into your business). To sell you need to establish trust and showcase your product or service offering. The easiest way to do this is to have a website – which is relatively inexpensive.

Once you have a website that you can direct your clients to if they want to learn more about your business, you can focus on creating those first relationships that will give you income.

Here are some things you need to consider:

  • You will need to learn graphic designing, or to pay a graphic designer to design a logo, and to design email signatures. This is essential to look professional.
  • You will need to use a platform like WordPress that helps you easily create your website.
  • You will need to pay for your domain (URL or website address) and host your website, which will cost you a certain amount of money each month depending on the domain name you choose.

When you start it is you alone. You are every part of your business. You are doing the sales, the marketing, the distribution and whatever else you need to do in order to give value to your customers.

What are the unnecessary costs that entrepreneurs take on in the beginning

  • Rent: you do not need an office to look more professional. You do not need a shop to be able to sell. Meet with your clients on Skype or at their location, and sell what you can online. If you need to educate your clients about buying online, do that rather than taking on a monthly cost that will only make your business lose money.
  • Employ: you do not need a team at the beginning. You do not have to pay people to make your life easier when you only have a couple of clients. Only when the workload becomes absolutely unbearable for you should you consider adding employees to your business.
  • Loan: so many entrepreneurs lost sight of the point of entrepreneurship, to give value to customers, because they are too busy stressing about whether or not they will have enough money to pay back what they borrowed. Sometimes you need to borrow money to run a business, but most often you don’t if you start small and grow organically. Save yourself the stress of having the guarantee income for a business that is just starting by not taking money that you haven’t earned. Banks will give the money, but the stress is just not worth it.

 

You do not need a lot of money to begin a business. What you need is courage, determination and a hard work ethic. If you work as hard as you can to build your business you can always add what you want to it to make your life simpler once the business is a working – do not create unnecessary costs from the beginning.

 

Post Author: First365