How to estimate the startup Funds of entrepreneurs
if you choose to start a business, it is necessary to prepare funds, and in the end how much money you need to prepare, which requires estimates. In short, the beginning of the business, the first problem is how much money. Entrepreneurs need to start a fund, introduced eight simple ways to help you solve the business needs much money to complete the initial venture capital estimates. Do you think you are ready for your business? Don’t be so worried. Before you do that, you need to know how much money you need to start a startup.
you may have an approximate estimate, but it’s not enough to make a viable business plan and start a business. Accurate calculation of the required funds is the key to success. Underestimated the demand, entrepreneurs will not profit before the stretched. Overestimated the cost, entrepreneurs will not be able to pick up a larger amount of start-up funds.
regardless of the total start-up capital of $5 thousand or $500 thousand, entrepreneurs need to calculate specific figures. To this end, the challenge is to find credible and reliable information. The good news is that entrepreneurs can get specific amounts and valuable advice from many sources. The following eight ways to help entrepreneurs estimate venture capital:
1, peer. Management consulting group (ManagementAnalysisGroup, a low-cost operating consulting firm in Seattle) boss Stephen? Bates (StephenBates) introduced to the business and similar business entrepreneurs, is the best source of information to calculate the initial operating costs of entrepreneurship". Your future competitors may not want to help you, but they will be happy to help you if you are not in the same area.
2, vendor. Suppliers are also a good source of information on the cost of starting a business. Greve of the University of Southern California Entrepreneurship Center (GreifEntrepreneurshipCenter) in Losangeles,? Alan (KathleenAllen) professor said, entrepreneurs can call a direct supplier, tell him because you intend to start, so want to know the cost of an industry. They are usually happy to help because they want to find business opportunities from you".
however, Alan also warned people not to believe too much in the initial contact with the supplier, she suggested that do some comparison, you will find that there will be a significant difference in the cost of entrepreneurship". Ask the supplier for equipment leasing, discounts for large purchases, credit terms, starting inventory, and other options that may reduce upfront costs.
3, industry chamber of commerce. Alan said, and peers and traders, the chamber of commerce is also a very good source of information, because you can directly deal with a particular market". According to different industries, the chamber of commerce can provide startup >