September 23, 2008

Business Plans for Tough Times

Is this a time to start a business?  Maybe.

Do existing businesses need money?  Probably

In either case, the business plan you write today will be different than the one you wrote five years ago.  Five years ago money was available.  It is still there, but it is a lot harder to find, and to tie down.  Here are some keys to getting funding now:

Take it as far as you can yourself

Whether your business is is brick and mortar, or online,  do as much as you can yourself.  Bootstrapping is IN style, if indeed it ever went out of style.  Getting funding to "expand" is always easier than getting funding to "start".

Be THE pro in the business

Nobody wants to finance your on the job training.  Prove that you've got industry experience and management success behind you.  The "wanna be's" are in for a rude awakening over the next few years.  Don't have the success stories to tell yet?  Well, get them.  Don't expect funding until you've got the tales to tell.

Be The Dreamer

Capture your lender with your enthusiasm and sincerity. 

Be The Realist

Recognize that some businesses will be easier to fund than others.  Repair businesses, credit businesses, low cost businesses will all be better off than a custom tailoring shop.

Go For It

Lots of folks are sitting in the wings, waiting for the economy to change.  Well, it is not going to change soon.  And there IS money out there.  Lots of it.  Honest.  Go for it.  Now.