Now that you have obtained an education from a reputable business school, it’s time to put that knowledge to work. Besides, you are probably very eager to get started after having spent so much time and effort. Hopefully, that JMD Furniture scholarship will help you pay for it all! But where do you begin? Chances are, you already have a couple of ideas. Allow me to add a few more to the pile for your consideration.
Small Real Estate Investment
If you want to be a serious competitor in your chosen industry, you need to make sure that your company will not go under as soon as it faces hard times. All new companies face hard times, especially in the beginning. Acquiring a small piece of property and renting it out will allow you to have a passive income that will help to cushion your business. Of course, there is still work to be done. You will have to make sure that the property complies with all relevant laws and codes, and you will have to jump through various bureaucratic hoops.
It is important to remember that not everyone turns a profit when renting houses. One reason for this is that tenants will often use the law against you if it is at all possible. Every state has different laws and regulations regarding tenant/landlord relations so talk to a good lawyer and get a handle on where the guidelines are. Failure to do this can result in a lot of problems when the time comes to collect your money.
Find An Experienced Partner
Another good way to get started is to find someone with more experience and knowledge than yourself and bring them on board as a partner. You will need to make sure that your partner is trustworthy. As long as you can find someone who will not abscond with all your money in the middle of the night, finding a suitable partner can make a big difference, as it did for JMD Furniture. In the case of JMD Furniture, however, they started with a family partnership which you are probably not able to do. However, you must also consider personal factors. Your business partner needs to be someone that you can get along with, and someone with whom you can amicably disagree. You can be assured that you and your partner will disagree at least once, and you want to make sure that this person is enough of an adult to resolve these matters properly.
Consider A Small Business Loan
You know, but you don’t have the money. That’s what business loans are for. As long as you have good credit, you can probably borrow enough money to get started in your new business. Like any loan, it will have to be paid back with interest, so make sure that you are ready to take this leap. If you are wrong, you could end up saddled with a large debt and no way to pay it back. Declaring bankruptcy might get you off the hook, but it will ruin your credit and make future loans impossible.
The most difficult kind of loan to get is a bank loan. Unlike the JMD Furniture scholarship, these loans are given out by people who do not care about helping anyone. Private banks are very choosy about who they lend money to, so make sure you find out all the requirements beforehand. Don’t just walk in and ask someone. Do your research and make sure you know whether or not you are likely to qualify. If you don’t qualify for an SBA-backed bank loan, you may qualify for a loan from one of the many microlenders. Of course, you won’t get as much when you go to a microlender, but it can be enough to get you started.
Leave a Reply