When starting a new business, many assume that going into debt is the only way. There are other alternatives. You must look for creative business funding alternatives. Funding a business doesn’t have to mean mortgaging your future for a start up business loan. There are alternatives and debt slavery doesn’t have to be one of them.
Remember the old adage, a person who borrows money is a servant to the lender? The borrower is in bondage, a slave until they repay the entire debt. It’s slavery because you have no real choice. You must work until you have paid back the debt. Each day is in effect controlled by the lender as you are at his mercy until the debt is repaid.
Many an aspiring new small business owner is trying to escape from being a wage slave. Unfortunately, they go from one taskmaster to another when they incur a large debt to start business. They trade their wage slavery for debt slavery. It doesn’t have to be so.
You are a debt slave because your labor is demanded as repayment for a business loan. When margins are tight or cash is short, you’re essentially trapped into working for very little or no pay. Sound risky? Sound familiar?
If you’re interested in starting your own business, you’ve decided to look at opportunities that will build wealth and a financially free future. Beginning that journey with a burden of debt is not the best approach to take.
If you already have a small business, isn’t it worth looking for alternatives to being a slave to the bank? You may have working capital loans, commercial loans, equipment loans, and real estate loans. What would it be like not to be in debt? Is it worth looking into? If you don’t, I can tell you for sure, you’ll never be out of debt.
Why not take the high road and avoid debt and the slavery that comes with it? Look at some ways to minimize or eliminate the need to borrow. There are many options to consider, such as:
- Minimize your start up costs looking for low cost alternatives.
- Look for ways to outsource some of your tasks. Outsourcing is a great way to hold costs down in the early going.
- Phase into the business slowly or part-time. One of the safest ways to start up is to do it part-time, not giving up your full-time job until you’re off and running well.
- A novel idea is to save for it. This takes a little planning ahead but in the long run really reduces the risk in starting a new business.
Read my article on “Debt Free Funding Opportunities” for more ideas. Remember, business funding doesn’t have to mean going into debt!
by Steven Schlagel – May 21, 2009