Post
Topic
Board Economics
Re: Building a prosperous business
by
Unbunplease
on 21/07/2023, 22:19:00 UTC

As much as you are right, i still have to state that the number one killer of a good business idea most of the time is running such business on borrowed funds, borrowing to start a business at the very initial stage is such a very bad idea to be honest with you, it is much better to borrow to expand a/the business than borrow to start it up, this is because at the initial stage of starting a business, there are many uncertainties, like not being sure how the business will do, like not being sure if the business will really sell in the area where it is, this is enough to worry about already, having to also worry about how to repay a borrowed money is just making matter worst.

So its way better to start your business with your own personal fund, have peace of mind even if the business is not doing as expected in that initial stage, in the future when things become far better than the beginning, you can borrow to expand the business if expanding becomes really important.

Unfortunately, a person who has ideas has no money to start a business, and a person who has money has few ideas about how to use that money competently. Therefore, borrowed funds are still a way out of the situation - but for this you need to have a clear business plan, as well as understand the essence of the business.