- Trade services. In exchange for much-needed service – say, engineering expertise or legal advice – consider offering a small percentage of company ownership. Of course, be wary of giving away too much of your company for the service provided.
Julie Clark had plenty of money to invest into her new company, The Safe Side, after selling Baby Einstein to Disney. However, she still gave 10% of the company to The Safe Side’s writer. “It will be a lot for a writer, but I also feel like I wouldn’t have done it without her involvement,” Julie says. “I value that writing to such a great degree that it’s worth it.”
- Tap into your customers for cash flow. By working with them in different ways, your customers can be a great source of capital. For instance, we always offer our smaller customers (primarily retailers) a 5% discount for prepayment. Since they intend to pay anyway, they might as well earn an extra 5% for paying upfront. We gain access to the cash immediately and we have no future administrative burden of invoicing and collections.
There are countless more strategies for finding money to launch and grow your business in the just-released Secrets of Millionaire Moms by Tamara Monosoff, from which this article is excerpted. To learn more about the book or to purchase your own copy, visit Amazon.com.
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