INITIAL STARTUP CONSIDERATIONS
STEP 4: FINANCING
YOUR BUSINESS
(See Ch. 3: Business Financing)
A. ORGANIZE YOUR FINANCES
• Complete a comprehensive review of your business'
financial position and goals. Collect information about
your assets and liabilities, as well as your current
resources.
• Review your business plan to make sure your projections
support your goals and are realistic. Show how you will
exponentially grow your company and support your plan
to minimize the risks, and demonstrate clearly how you
plan to pay your investors back, with a profit.
• Visit brc.dc.gov for more information.
B. DETERMINE YOUR CURRENT RESOURCES
• Take inventory of the various resources that you may
already have available, including personal savings, credit
cards, loans from family members and friends, customers
and strategic partners, retirement accounts, and trade
agreements with vendors or suppliers.
• Visit bit.ly/bizfinresources for more information.
C. OBTAIN YOUR CREDIT REPORT
Regardless of whether you are going to rely on your current
resources or obtain commercial financing, you will need to
obtain a copy of your credit report to ensure its accuracy and
show potential investors that you are serious about paying
back their investments.
Equifax, Experian, and TransUnion are the three major credit
bureaus. Each credit bureau has a process by which you
can request and obtain a copy of your credit report. Request
copies of your credit report from the three major bureaus,
and clear up any inaccuracies.
D. FIND ADDITIONAL FINANCING
Identify which funding options might be most appropriate for
your business:
• Obtaining a traditional bank loan
• Working with a lender to get a loan guarantee from the
U.S. Small Business Administration
• Securing funds from an angel investor, venture capital
firm or small business investment company
• Obtaining a loan from an alternative, community lender
• Crowdfunding
• Claiming financial incentives provided by the DC
government (See Ch. 5: Financial Incentives)
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