Good Debt vs. Bad Debt
I hate debt. I don’t like the feeling of owing anyone money. Though I was repeatedly taught in my youth to avoid debt like the plague, I didn’t listen very well — I was nearly $1m in debt at age 25! Some things are learned the hard way. As much as I dislike debt now,...
By David Gass
Behave Your Way to Obtaining Capital for Your Business
In his book, The Seven Habits of Highly Effective People, Dr. Stephen Covey recounts a conversation with a man who hated attending out-of-town training events. The man explained that his wife calls and hounds him on every detail of the day, whom he dines with, etc., and that he felt imprisoned by it. He also...
By David Gass
Raising Business Capital from People You Know
Asking for business capital from people you know is very different from putting in a loan application at the bank. The good news is that you already have a personal relationship, so chances are they won’t run a credit check or ask you to put up your home as collateral, and may even give you...
Funding a Business from Friends and Family
If I could make a point with budding entrepreneurs, it would be that you should know what money you need and understand that it is at risk. Don’t bet money you can’t afford to lose. I’ll always remember a talk I had with a man who had spent 15 years trying to make his sailboat...
By Tim Berry
SBA Business Loans
Given your business plan and your collateral situation, you might look for special loans funded by government development agencies. If you are in the U.S., then you are probably looking for Small Business Administration (SBA) loans. The SBA is a federal government agency that guarantees bank loans to small business. The SBA has many different...
By Tim Berry
The truth behind small business grants
Grants to for-profit businesses are virtually nonexistent. Don’t believe promoters who advertise that they will charge you a fee for a list of grants on the books. Grants are generally for nonprofit organizations with a 501(c)(3) designation. They are virtually not available in the for-profit sector unless there’s some esoteric local program in your own...
Opportunity: Facebook Applications
Here’s an interesting startup funding note. Facebook has established a fund to grant startup funds to companies developing applications for its platform. Thanks to TechCrunch for the details: The size of the fund will be $10 million (coming from Accel and Founders Fund) with grants varying between $25 thousand to $250 thousand available for each...
By Tim Berry
Truth About Grants
Sorry. There’s no free lunch. And there’s very little free government money for you to start your business. You’ve probably seen Matthew Lesko on television. He’s the guy with question marks all over his sport coat who talks very fast and offers free government money. Sometimes he throws bills in the air. Free government money...
By Tim Berry
