How will you go about getting funding for your business?

The early stages of founding a business are exciting times. Your mind is racing with creative ideas for how to make your product, what you'll do to market it and how much money you'll eventually make. There's just one thing that comes first – you've got to secure enough financing to get you started.

There are a lot of ways to get your hands on startup cash, but not all were created equal. It's important to do your research first and figure out what approach will work best for your business. You need a strategy that will help you minimise overhead costs and start raking in profits as soon as possible.

Start by doing your homework

Before you start to go around and ask people for money point-blank, it's best to do your research first and figure out exactly what your needs will be. According to the Western Australia Small Business Development Corporation, you should have a detailed business plan in place before you ask for funding, not after.

Figure out how much financing you will need to cover every aspect of business management you have in mind, ranging from purchasing real estate to making payroll tax payments. Once you have exact dollar figures in mind, you can start to ask about new initiatives such as taking out loans and arranging for the terms you need.

Explore your many financing options

Entrepreneurs often assume that if they want to get their hands on startup capital to run a business with, they need to take out loans. In many cases, this is true, but it's not absolutely certain.

Debt financing isn't necessarily the best plan for you. It all depends.

The Balance explained that fundamentally, there are two different types of business financing. One is debt financing, which is pretty straightforward – you take out a loan, you owe a debt and you eventually pay it back. Another possible model, however? Equity financing. Instead of giving people loan repayments at an interest rate, you give them a small share in your company.

There are all sorts of options available for funding your business, and it's hard to know what's best for you. If you need to talk to chartered accountants before making any rash decisions, that's completely understandable.

Get help with making your decision

If it's time to get funding, you might want to talk to the professionals about how exactly to go about it. Fortunately, that's easy to do. At Wilson Porter, we have a staff of business development consultants who can help you get your hands on the cash you need.

In general, we are committed to helping businesses find their way, giving them whatever support is necessary. That might mean funding; alternatively, it might mean helping them appraise their business or decide on a corporate structure. Whatever challenges you're dealing with, we're here to lend a helping hand.