The interest of the community, especially the younger generation to open their own business is something that is encouraging, but of course there are often classic problems for these prospective entrepreneurs, namely venture capital. When in fact the government has launched many programs to foster a climate of entrepreneurship in the community for the sake of improving welfare by providing SME loans and cash loans. But of course this soft loan still provides interest expense for the borrower. In addition, you do not need to feel worried because the source of funds is actually everywhere. These are the types of profit sharing cooperation for getting loans without interest
Some of these funding sources can be used as initial capital for your business without bothering thinking about the burden of funds that must be borne. es can be used as initial capital for your business without bothering thinking about the burden of funds that must be borne.
Personal investment or savings
To start becoming a business person, you must have the courage to make sacrifices, including using the savings you have been collecting so hard for venture capital. If not enough you can sell some of your valuable assets such as gold. Therefore, plan everything carefully so that the initial capital is not eroded until sold out is often the case with many beginner businesses. This is your investment for greater profits in the future.
Chasing corporate grant funds
Business capital can also be obtained from company grant funds, either in private or government companies. Nowadays, large companies generally have their own budgets to support the economic development of the community in the environment around the company. The trick is to channel some funds through CSR or Corporate Social Responsibility activities.
The technique for channeling funds can be in the form of business competition or business. Use this opportunity to get your startup business capital. Prepare everything as optimal as possible because enthusiasts for this competition event are certainly very many and all of them are trying to present the best business concepts to be able to attract the attention of the jury. Do previous research, make the best products that are predicted to be able to attract the attention of consumers, and prepare business concepts optimally.
Profit sharing or profit sharing is usually temporary and does not constitute ownership. For retail businesses, this revenue sharing can be done routinely every month or on each project. Another profit sharing system is a certain period of time in a contract so that capital will be returned at the end of the contract period. Thus, a time limit agreement must be made so that capital does not become ownership for the rest. The project will be considered completed when it has been paid.
To raise capital you can invite people who have the same interests as for example between friends or relatives. Your colleagues can help with capital or daily business operations if they are competent in certain areas related to the business. In order to avoid problems in the future, make an agreement at the beginning of the collaboration that explains everything including rights, responsibilities, sharing of results and so on in writing so that no one feels disadvantaged.
Share or joint venture
A partnership or partnership can be a solution to your capital problems. With this alternative you can get capital in a larger amount that is sufficient to open a business and besides that we don’t need to pay interest on the loan. As compensation for the partners, the business owner must share profits from the business in accordance with the composition of capital or portions in our business.
As in point four, you should make the contract as clear as possible at the beginning of the collaboration on rights and obligations so there are no trust issues and breach of agreement. It must be realized that a business can disband in the middle of the road because of this even though it was initially based on cooperation.
Well, you now know the alternatives to get funding for your business, especially in the form of profit sharing, get a loan without interest. Immediately realize these ideas and run your business as professionally as possible so they can grow rapidly and become a means to realize your dreams. Keep trying and good luck.