Joa3) How do I start a business with no money?

 How do I start a business with no money?

1:  Find a free business idea

The first stage of starting a business is to develop an idea. If you’re unsure of what that could be, here are six creative business ideas you can start with no money. 

Sell your services

The easiest way to start a business with no money is to sell your services. Even if you haven’t mastered a specific area, being better than the average person at something means you can start a business that helps them. So, start by looking at the things you know how to do better than most people. Package that skill set into service, such as:

Freelance writing

Virtual Assistant

Social media marketing 

Handyman services

Don’t rule out a service business if you don’t have a particularly strong set of skills. Your time is valuable; busy people often pay an hourly fee for someone else to do tasks they don’t want (or don’t have time) to do. That includes jobs like:

Cleaning

House or pet sitting

Dog Walking

Personal shopping

Car washing

Many entrepreneurs write off these small business ideas because they fear they’ll earn minimum wage. But service-based businesses can be lucrative. Some freelance writers make six figures annually within two years of running their business. One window cleaner even hit the $250,000 mark within 12 months.

Dropshipping

Dropshipping is a popular business model for entrepreneurs looking to start a small business with no money. Simply create an online store and choose a dropshipping supplier like DSers or AliExpress. When an order is made, your e-commerce platform will forward the order information to your supplier. It’s their job to pick, pack, and ship the order to your customer.

The best part about dropshipping is that you can get started with a tiny budget. Instead of buying inventory before it’s sold, and storing those goods in an expensive warehouse, vendors will only charge you for inventory when you sell it. Get started with a free 3-day trial and then $5 a month with Shopify's Starter plan. 

Print on demand

The global market for personalized products is estimated to be worth $38 billion. Capitalize on that opportunity, even if you don’t have cash upfront to invest in inventory, with a print-on-demand business.

Print on demand is the process of private-labeling products (such as tote bags, t-shirts, or caps) and selling them on a per-order basis. Suppliers like Printful will print your designs onto inventory, ship them to the customer, and charge you for their service after you’ve received the money from your customer. 

2: Write a business plan

A business plan is a blueprint for how you’ll grow your business. The contents of yours will depend on the low-cost business model you’ve chosen. But generally, it includes:

Company description. An overview of the company you’re about to start, including the business model and legal structure. 

Market research. Include demographics that your target market shares. For example, will you sell directly to the consumer or via wholesalers? How does this compare to competitors?

Products and services. You’ll make money by selling one of these. Explain what the product or service is and why people will buy it.

Marketing strategy. Explain how you will promote your business to reach your target market, be that through social media, advertising, or email marketing.

Logistics and operations plan. How do you intend to get your product or service into the hands of your paying customers? This could be dropshipping suppliers, third-party logistics companies, or printing labels yourself.

Financial plan. Detail how you intend to make (and spend) money. Include your financial needs, costs and expenses, balance sheet, and cash flow projections. 

Need help writing yours? Here’s a free business plan template, complete with examples, to help you get started.

3: Choose a business name

The next stage in starting a business is to choose a name. This needs to be catchy, recognizable, and most importantly, not already taken. Use this free business name generator to get inspiration if you’re stuck. 

Remember: the name you choose will serve you through the business’s lifetime. Make sure it’s one you love—and can see scaling with you—to avoid headaches down the road.

4: Launch a website 

The process of starting a business from scratch has been free up until this point. While it’s possible to continue on the $0 path, the smartest investment you can make is in an online store. Your website is the virtual home for your new business—one you can use to educate potential customers about the products or services you sell.

If you’re super tight on cash, Shopify Starter plans are only $5/month after a free 3-day trial. That’s a small price to pay for a sleek, professional website that will help you make your first sale.

5: Validate ideas with preorders

Starting a business from nothing is trial and error. Some ideas will be a hit; others will not prove to be as popular as you first thought. Mitigate risk by testing your ideas with preorders.

Pre-ordering works by taking money for items you haven’t yet produced. It provides cash upfront for you to invest in production, builds hype, and creates a sense of exclusivity. People buy into the opportunity to try something new before the crowd. 

Remi Martins is one entrepreneur who took this approach. After conceiving the idea for Natural Girl Wigs while working a full-time job, Remi decided to create an Instagram page to showcase the types of products she wanted to sell: “This is how I got feedback that people are interested in the product and there was a market for wigs specially made for natural-hair lovers.”

Remi chose the preorder route and created the product with a hairstylist, who “agreed to make it with the promise of getting paid if someone orders the product.” An iPhone photography shoot followed, with Remi posting those images to the new Instagram account. 

“The first sale came in and then the second. This was how we sold 50 products in the first 60 days of the business, depending on customers to order and then creating the product with their money,” Remi says. “I eventually invested $1,000 in the business to purchase inventory and invest in marketing.”

6: Source funding to grow

If you don’t have money to start a business, then you’ll likely need a significant time/energy investment or guidance from a support network. And even if you’re able to launch with limited resources, there will come a juncture where you’ll need funding if you wish to scale.

Research shows that 29% of small businesses fail because they run out of cash. To survive and thrive, some entrepreneurs look for startup capital—extra money they can use to invest in inventory, marketing, or hiring their first employee. 

Options to fund your new business venture include:

Crowdfunding. This approach to raising money takes small amounts of cash from a large number of people. Ask regular people to invest in new businesses through platforms like Kickstarter, Crowdfunder, and SeedInvest. So-called “backers” get perks, such as access to pre-orders or equity, in exchange for their investment.

Friends and family loans. Do you have a personal support network that can back your new business idea? Ask them to invest cash into your startup. Most will contribute in exchange for a larger return (with interest) or a small equity stake. 

Small business loans. Get larger amounts of money through a lender, like Shopify Capital, to go toward payroll, inventory funding, or marketing. Note that loans only become an option once you start to see success. You’ll likely need proof of revenue—evidence that you’re able to pay back the loan—before being accepted. 

Capital investors. These come in the form of angel investors or venture capitalists. Both provide cash for small businesses in exchange for an equity stake.

Small business grants. These are one-off lump sums of money given to small businesses. Most don’t need to pay back, though there are strict criteria you’ll need to meet before receiving any money. Some issuers also limit how the grant can be spent.

what do you think of our video?

Let Me Know in the Comment Section Below

Before you go please hit the like button and subscribe to my channel.

Thanks for watching