Do you need money to make money? Can I start a business without money?
Your mom and dad will definitely say…
My simplest answer would be:
IT DEPENDS ON YOUR CIRCUMSTANCES.
If you are living in your parents house and they are paying for everything, maybe you won’t need the cash to start a small business. Use your unique skills, put a lot of effort, use the web and learn how to work well with people. Who knows you might be the next Mark Zuckerburg! (Facebook guy) You might not need any money.
If you already have an existing source of income, either a job or an existing secure business access, then probably you can start a business with no capital or at least minimum capital if you know how to use the tools available around you. How you use your time will be another consideration. Yes it is possible for you to start with a small amount of money.
If you are already cash rich. Definitely, it’s easier for you to put up another business. Considering not only your financial status but also your expertise and experience in operating a business. There are universal principles in business that you can use in whatever industry. That’s why entrepreneurs are usually not only interested with the product or the service they offer, but they are fascinated in combining resources, organizing and making things work. It will be easier for you to start another venture.
If you’re a family man with at least two kids with no other extra income or savings, then that would be a different story. I don’t think you can just quit your job and expect everything will be fine. You cannot blindly go and take the risk. You need to calculate the risk. Then minimize it as much as you can. After figuring out how you are going to pay for your living expenses then maybe…
Just like how an airplane needs a long runway to take off to the sky, you will need enough money to make your business fly.
The use of “money” here is either to pay for your personal living expenses or for your business operations for the first six months. Either way, you need some “form” of money to start a business. Big or small. That money may be “the free living expenses you are entitled while living at your parents house” or “money that you earn from another source to pay for your rent, grocery, utilities, etc…”
The best thing today is that it is ‘easier’ to put up a business compared to the 80s and 90s… The playing field is equal because of the internet. The more you understand how the internet works the more advantageous it’s going to be for you.
Now with or without money, you will need to learn how to manage the finances of your new business. Now, that will take a lot of learning.