Personal Savings Be conservative in your spending, so you can build a startup nest egg.
Personal Loans If you own your home, you could take out a second mortgage or an equity loan. Some people use their credit cards (not usually advisable due to the usurious interest rate). Another option is to cash in a retirement/investment account.
Student Loans If allowable, maximize the amount of your student loans and put the extra into savings.
Loans from Family and Friends Avoid potential discomfort and resentment by designing a loan contract that clearly delineates the terms and repayment schedule.
Private Investor Loans Most private investors want to make a healthy return either in dollars or a percentage of the business. This route requires research, correspondence, proposals and a refined business plan.
Bank Loans The amount loaned is usually based upon your assets and banks require a complete business plan.
SBA Loans The SBA offers several types of funding from guaranteeing up to 85 percent of a commercial bank loan to directly loaning money.
Grants Many organizations provide grants to people who fall within the parameters of special interest groups, as either the business owner or the market you plan to serve. At a minimum, this route requires research and proposals.
Partnerships This affiliation can vary from a “silent” partner (more of an investor) to someone who works alongside you to build your business.
Community Development Corporation (CDC) Investors These are local organizations that partner with government, business owners and community leaders to provide economic assistance (e.g., loans, grants, consulting, subsidized office spare). This is '
usually geared toward specific populations or the enhancement of a particular area of the city.
Cherie Sohnen-Moe is an author, business coach and international workshop leader. She has been in business since 1978. She was in private practice for many years as a massage and holistic health practitioner before shifting her focus to education and coaching. In her coaching/consulting practice, she has worked with individual therapists to small wellness centers to day spas that have multiple locations. She has served as a faculty member at the Desert Institute of Healing Arts and the Arizona School of Acupuncture and Oriental Medicine, and is an adjunct professor at Clayton College of Natural Health. She has written more than 100 articles that have been published in more than 15 national and international magazines. She is the author of the book, Business Mastery, which is in its fourth edition, has sold more than 325,000 copies to date with 650-plus schools requiring it as a text. She is also the author of Present Yourself Powerfully and The Art of Teaching. She is co-author of The Ethics of Touch, with more than 300 schools requiring it as a text. She is also a contributing author of Teaching Massage: Fundamental Principles in Adult Education for Massage Program Instructors, and was interviewed for a chapter of SAND TO SKY: Conversations with Teachers of Asian Medicine. Sohnen-Moe is a firm believer in education and as such serves on the exam committee of the Federation of State Massage Therapy Boards (FSMTB) and is a founding member of the Alliance for Massage Therapy Education (AFMTE). She can be contacted through her website, www.sohnen-moe.com.
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