Do I need my own money to start a business?

Yes. All lenders or investors want to see that you have a considerable amount of your money in the business: your money is at risk as much as their money. If a business owner does not have owner equity in the firm, it is more tempting to walk away from a failing business because there is little to lose.


785 votes


Get the Info That Matters Most to You With SBA Direct

Find information on:

(Select your topics)

Get Local Assistance Right in Your Area

Counseling, mentoring, and training from an SBA District Office, SCORE Chapter, Small Biz Development Center or Women’s Biz Center in your area.

FIND RESOURCES

join the community

It all started with two women entrepreneurs and a 12’ x 10’ foot office. When Barbara Hines and Nancy Froome started SSD in 1983, they...
Oops! That new smart phone just tumbled out of your bag, crashed into the sidewalk and put an ugly spider web crack in the screen.  Relax...
Andrew Wells III, President and CEO of Wells Technology based in Bemidji, Minn., has been named the Minnesota Small Business Person of the Year by...