How can you finance your business plan?
What are your options?
First off of course, there are credit cards. This is known as bootstrapping. You take out a fair few credit cards in your name and use the large credit limit to fund your business deals, putting a little bit on each one.
What’s next? You can use your savings to fund it. Pitfalls are you may need those as you won’t have any regular income for a while whilst it starts up.
An alternative? Using the equity you have stored in your home. Two ways to do this dependant on your age. First a remortgage may be possible such as a home equity loan. Next would be if you are over the age of 62 you can try reverse mortgage companies to see if they will lend you the money based upon the equity stored up in your house.
You must have all seen those car insurance adverts? The one with the Gekko and the Meerkat and all sorts. Well those were the inventors of comparison sites. The kings of comparison so to speak. Whilst they spent the money on the TV advertising asking everyone to compare, a new industry has arisen – the online comparison one.
Now, you can compare everything online, from cars to credit cards. This site is all about comparing credit cards and for this, I think you will agree it does a good job.
As you can imagine, lots of people rush into taking out any old credit card that sends them a letter through the post as a promotion. What they don’t realise is that there are types of credit cards suited to types of individuals. If you let the credit card companies choose which card you take out, you are doing yourself a great disservice – you know yourself and your spending habits more than they do.
So, it is important to compare credit cards as some have different offers for different needs. Take balance transfer credit cards for starters; you may not have any balance to transfer and so won’t get the benefits but will pay the burdens of high purchase interest rates.
So to compare credit cards, make a profile of your spending habits. Look at your last 2 years statements and see where you are spending and which products you could use help with. Then compare credit cards online using this profile as a starting point to see which would be best for you.
