We've all been there before. When you're concerned whether or not to start your own business, one question you have to answer is where do I find money to fund my home business?
Most home businesses can be started with a kit for under $1000. Some are quite lower, like under $100. Which, when you consider that a franchise business cost over $100,000 and comes with a lot more hassle, $1000 (or less) is quite a steal.
The initial investment is just the beginning of your business expenses. Next, you typically have a monthly “staying in business fee” like an auto ship of products and a website. Let's estimate that you need $150/month for that.
Now let's consider any training and development you'd like to pay for (books, seminars, meetings, etc). You should budget at least $50/month (some months may be more and some may be less – but it should average to a minimum of $50.)
In total, you should plan on spending about $200/month to fund your home business after the initial joining kit.
How can I find money to fund my home business?
Now, you don't have to go searching for buried treasure. Most people are able to find money to fund their home business by reducing their current expenses. The first step is to KNOW where you're spending your money today. That means you need to start keeping track of EVERY expense!! Where are you spending your money every day, week and month? Break things down into NEEDS vs. WANTS? Here's some examples of NEEDS:
- Mortgage / Rent
- Groceries (but within here can be some wants … – dive deep into our grocery bill)
- Car payment / insurance / gas
Here are examples of WANTS:
- Eating at a restaurant
- Monthly Subscriptions like Cable, HBO, Hulu, Netflix (you'd be surprised HOW many you have
If you're a person who likes to go get coffee five days a week and you're paying for the expensive $5 cup, you might consider reducing that trip to Starbucks to once a week instead. Think about that, if you can reduce you're weekly expense from $25 / week down to $5/week, you've just saved $20 a week. (that's $80/month). Are you willing to spend $80 toward your business that can potentially change your life instead of high end coffee?
Do you bring your lunch to work or do you dine out regularly? I understand that eating lunch with colleagues is an important bonding moment, but I want you to consider this … are you willing to give up a little of you want short term to create what you desire in the long term? How much money do you think you can save per week by packing your own lunch? $40? Spread that out over a month and you've saved $200!
Do you have anything in your life that you can sell because it doesn't fit your life anymore? Old clothes, toys and games? I bet you can find money all over your life by looking around with what you currently own and don't use or need anymore.
Look at that! You've just found a way to invest in your home business!
Your goal every month is to be PROFITABLE. You need to get customers and business partners ASAP. Until your customer base (and/or team) is strong and you are in REGULAR profit, don't add any of your WANTS back in. Chances are, after living without them for a bit, you've realized you don't really NEED them anymore. That gives you an opportunity to either invest more in your business or invest it into something else more important to you (like a vacation, retirement, education).
Before I went off to college, my father had me read a book called “The Richest Man in Babylon.” I highly recommend you read this short, fun fable-like story. It helps you figure out how to plan for your future. I talk a little bit more about it in the video below (even though I forgot the name of the book).
Did This Blog Help You? If so, I would greatly appreciate if you commented below and shared on Facebook so that others could benefit.
Need some help? Send me an email or give me a call!
Join my newsletter here.
call or txt me @ 612-231-5064
P.S. If You Aren’t Generating Leads Into Your Business and Your Upline Doesn’t have An ONLINE Marketing Blueprint In Place, Click Here For Access.