How To Start a Business with No Money

Updated: May 5, 2021


You don’t always need a large amount of capital in order to start a business. As a matter of fact, sometimes you can start with having a little amount of cash to no funding at all. (Yup!) Starting a business with no funds might actually look like an incredible idea, but it’s not impossible.


Truthfully, to start and scale a business, you will require additional funding than just extra cash flow. You will probably need investors, partners, and a concrete plan on how you are going to utilize your new business capital to grow. However, when you are just starting out, you start out small and much better if you can start out as small as you like.


If you plan to open a store where you will sell hand-crafted products, you can start by selling to friends and family. You can build a good relationship and get initial reviews. At that time, you can also sell on a third-party website online. Later on, you can move on to having your own site and store once you get the ideas. Here are a few ideas on where you can start a business with zero funds.



Determine what you can do and get for free


It’s very easy to come up with a list of barriers getting in the way of launching your own business. It’s a lot difficult to enumerate a list of opportunities that are right in front of you. If the idea of starting your own business with no money frightens you, stop and think about what you can do without right now.


What’s important to your business? Do you need an efficient, custom-designed website when you’ve only mastered five items for your new store? Could you make a Facebook page to market your business locally, instead? Or, would it be better for you to post your products on a website like Etsy? Would it be helpful for you to design your own marketing graphics on Canva? Could you offer an exchange with your skills/products/materials with somebody else as an alternative of payment?


To say there are many free resources on the internet is an understatement. Create a list of what you need for your business and research options on the web. It will probably take time, and maybe you’ll even need to learn some extra digital skills, but you’ll save money from doing it.

Allocate six months’ worth of savings for expenses


Undoubtedly, having to tap into your savings account is not the ideal situation. Yet, it’s a very common habit among business owners. When you design a business plan, be honest with yourself about the cost of spending and how much profit you’re possible to bring in. Also, be realistic about how long it will take before you see revenue. Normally, it takes at least six months before you can see any cash flowing in. Make it a goal of yours to have savings for at least six months’ worth of living expenses so you can commit yourself to your new business.

Ask your friends and family for extra cash

Keep in mind that you’re not asking for charity. You are not asking your friends and family to support your bizarre business idea. No, you’ve got a goal and a solid business plan. That’s why you need to look to those closest to you when making your proposal. Use your friends and family as one of your many resources.


Ask for comments when you practice your sales pitch with them. When you’re ready to launch your business, it doesn’t hurt to ask if they can help with a small loan to kickstart the business. Just ensure that you record everything especially the exact date of paying them back. You can also use a crowdfunding platform to uplift the people around you and motivate their networks to pitch in.


Apply for a small business loan when you need extra fund

If you’re looking for more funds and have been working on a small budget, consider applying for a small business loan. Traditional bank loans will require unreasonable requirements, such as proof that your business is successful, a very long application process, and over-the-top interest rates just to name a few. We at SALS CAPITAL, a business financing firm have easier requirements. We offer a variety of funding options such as a 0% interest rate for Startup companies, working capital, lines of credit, or even equipment finance. Contact (332-334-1077) to apply how you might qualify for 0% interest funding options.

Look for small business grants and local funding options

Honestly, grants for start-up businesses are not always easy to find or get. However, once you’ve kick-started your business (no matter how small), you can start looking for a steady source of free cash. Keep in mind that grants will have particular application requirements. As long as you meet those, you’re one of the luckiest for having pot cash that’s all yours to take. Begin your search in government databases and be sure to ask your local small business community chapters for assistance.

Find out and seek the hand of potential angel investors

You’ve probably heard of angel investors, and the reason is, they come into the scene when it’s time for you to scale your business beyond your capabilities. Angel investors are typically among the first people outside the company to invest in a business.


Different from outside firms or other venture financiers, angel investors use their own personal funds. They can also be a good mentor to you since most of them are former/current business owners themselves.

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