How to Start a Business with No Money.
Pavlo recently had a discussion with a young entrepreneur who wants to start a business. However, this individual has no capital to fund his idea, and sadly, in this country, there is no bank that funds start-ups no matter how good the business idea.
In the discussion with the entrepreneur, these were some of the takeaway points:
In this podcast of the Money Show, listen to Pavlo Phitidis share how you can build a business with zero funds.
- Having a passion for what you are doing goes a long way. Knowing why you are doing it and the joy that comes with it goes a long way too. Identify an industry or segment of an industry that you have enough passion for, to learn inside out.
- Build an Asset Stack! Go get a jobin the same industry you want to service or create products for.
- When there is no business yet, funders will invest in you, so consider what you would need to become an asset that they will invest in. And what you would need to do to demonstrate your value and the value of your idea to a potential funder.
- Build an impeccable reputation for yourself in the industry you are working in. This is key to access funding in an environment where no one else can access it.
- Enlist the help of some good mentors or guides from the company you’re leaving to start a business.
- if you’ve worked somewhere for, say, ten years, you’ll have learned all the traits of that industry, and seen all the loopholes and problems that need to be solved. If you can solve it, your current company becomes your first customer.
- How does the business itself rate from a risk point of view in the industry it is in and then narrow down to the business itself? The narrower the industry is, the more the funder is able to see you’re making more headway in that industry. In other words, it is dominating a small slice of that industry.
The alternative is to just blame, blame, blame the challenges in the country for you not doing something. This view blocks the opportunities, which are out there.