Sometimes, In Business, It Helps To Be Famous
At other times, you just need customers ...
POSTED BY JONATHAN VOWLES ON 27/09/2016 @ 8:00AM
There are two types of business startups: those that need investors and those that don't. Sometimes the lines get blurred, so you think you need investors when actually, you don't ...
Are you sure your business needs investment? Maybe you just need more customers?
copyright: stokkete / 123rf stock photo (licensee)
Now, don't get too complacent here; starting a business will always cost money, so you need to be prepared. You need to have done some research and planning, so that you know how much you're going to need.
You need to plan both for money to use in the business and to ensure you have sufficient money for yourself. After all, what are you going to live on while you get things going?
"But you don't always need investors!"
There are some great real-life examples around. For example, take Jessica Alba. As an actress, she had success with Dark Angel and the Fantastic Four and over the last four years, she has helped to build the Honest Corporation into a brand name in the US.
The Honest Corporation makes eco-friendly and non-toxic chemical friendly household products, like nappies and cleaning products. Now, as an award-winning actress, she probably had enough money to invest in her business ideas without needing investors. Her resulting company has done really well. So much so that Unilever tried to buy it.
Contrast that to the story of Kavita Shukula, whose Fresh Paper business struggled to get investors. So she took her product (an antibacterial and antifungal paper) and started to sell it locally to shops and at farmers markets. Her customers loved the product and so the expansion of her business was funded by its own growth.
Being famous certainly helped Jessica Alba, but as Kavita Shukula showed, you don't need outside investors to get started if your customers love your product enough!
Both have become high-flying businesses, but they had very different starts in life. Oh, and one other thing, in case you missed it - they were both started by women.
Currently, around 17% of UK business startups are by women, yet 65% of women have said they want to start their own business. More women over the age of 40 apparently want to start their own business too.
"'What's holding the other 48% back?"
So, if you've been thinking of starting your own business, don't hang about. Call me on 01234 752 566 or click here to send me an email enquiry and come see me for some great startup advice.
Until next time ...
If you're looking for a new accountant to help grow your business, do visit www.jvca.co.uk and discover how Jonathan Vowles Chartered Accountants can help you!
I've been an accountant in and for business since 1987 and have a wide experience of consultancy, audit, accounts, taxation and wealth planning work from individuals and small businesses to multinational corporations and charities.
My eclectic interests in growing and developing business span a number of areas … and can be summarised as strategic business advice and tax saving advice.
I have worked with the Chamber of Commerce to deliver courses for people about starting up in business and have lectured about tax for a major accountancy practice and for Milton Keynes College.
I relax by reading fiction and by getting away from the office in a campervan.