If not independently wealthy and perhaps even if you are, eventually you will probably need to obtain some outside capital for your business. In some instances, you may need to obtain capital for the initial expenses prior to opening your business or for instance, the funds you require may be for expansion or working capital during the off season.

Generally business financing can take two forms, debt or equity. Debt, of course, means borrowing money. The loans may come from family, friends, banks, other financial institutions or professional investors. Equity relates to selling an ownership interest in your business. Such a sale can take many forms such as the admitting of a partner or, if you are in a company, issuing additional shares to investors. It is typically a prudent idea to consult with your accountant as there are many significant financial ramifications to such a step.

Also in this chapter of the New Business Kit:

• How Do I Get the Money
• Financing Alternatives
• Debt Financing Sources
• Equity Financing Sources

Contact Sanders & Shaw today to arrange a free meeting or to order the full copy of the New Business Kit.