How To Get Start Up Capital In Ghana To Fund Your Business
How to get seed funds to have a business running in Ghana is a major cause of unemployment related issues among many people in the country. You could have great business ideas in mind but how and where to acquire “seed funds” to kick start those ideas into business becomes a setback. Starting up a business is a very good step ahead to financial independence and a way of unemployment reduction. Read on as I take you through how to get start up capital to fund your dream business.
A start up capital is the seed money you need to in order to cover expenses towards the establishment of a new business. It covers the expenses of market research, business location, packaging, business registration, advertisement, branding, staff workers, products and services. These are the things start up capital covers. It takes the over all coverage of all the things needed to kick start your business. Many startups ask about how much would be needed to start a business, let me clear the doubt that the amount needed however, depends on the type, structure and location of the business. However, start up capital needs to be enough to run the business for sometime until it can run from it’s coffers.
What Does Seed Fund Cover?
✔. Start up capital covers the cost of conducting market research.
✔ It is needed to cover the cost of business location, whether you rent or build an office or place of work.
✔ It’s needed to buy tools or equipments for work.
✔ It covers promotion and advertising of the business
✔ Start up capital covers the cost of initial packaging of products and services.
✔ Seed money takes the cost of branding the business in the mean of marketing.
✔ For initial hire of workers or staff
✔ Start up seed fund covers the cost of initial production or service.
✔ It’s used to manage the new business for sometime.
Funding Sources To Get Start Up Capital To Kick Start Your Business In Ghana
Below are the various funding sources in Ghana to get start up capital to start your dream business.
1. Personal Savings
Personal savings is a good fund source to kick start your dream business. As a business minded person, open a savings account and start saving towards establishing your business. High-yield savings account, investment account and a small business account(SBA) is a good way to save towards establishing your business. Savings account and high-yield account offers good interest in the shortest possible time. An investment account will allow you to take a business loan that can be a very good funding source for your business.
2. Small Business Loans
Getting a small business loan is another funding source to get start up capital. Most banks offers small business loans with flexible terms for business startups and small medium enterprises (SMEs). You can get enough start up capital that will Vince your business for a while.
3. Appeal For Support
Start up capital can be raised by appealing for start up funds from family and friends. Draw a convincing business plan that will convince your friends and relatives to support your business dream to reality.
4. Government Grants And SMEs Support
Government agencies such as the SMEs empowerment program and national youth employment agency offers support with start up funds to Small Medium Enterprises(SMEs) and business startups. You can showcase your business ideas by joining the various government programs, if your ideas and business plans are innovative enough, you will be supported.
5. Crowd Funding
You may get start up capital from crowd sourcing by crowd funding to raise enough funds to start your business. Crowd funding is a crowd source process where funds are raised from a large number of people to support a pending project. You can do crowd funding to gather money to start your business. Crowd funding can be done via the internet by means of social media such as Facebook, WhatsApp etc. By seeking crowd fund, you urge people to support you to start your dream business.
6. Business And Investment Loans
You may finance your dream business by taking business loans. Various banks across nation offer loans for startups and existing businesses. There are also small business credit cards which allows you to run your business up to a maximum limit. Investment loans could be acquired as well.
7. Sale Of Assets
You can choose to fund your business by selling your assets. Assets such as cars, houses etc could be sold to finance your business if any.
8. Partner Funding
Consider a partner funding with two or more people to join hands together in business. It’s very easy for two or more people to raise funds towards partnership business than one person establishing a sole proprietorship business.