Currency

Where are you supposed to get money to run your small business? You're broke. Your 401K just got swept away in the Wall Street tsunami. But you have a vision. It's this great start-up you want to try. It's a dot com. You really believe in the premise, in the idea. You know you are cut out to be a tech entrepreneur. Everybody knows it. Silicon Valley here you come. But you need money. Where's the money?

Well, you always have your parents. But if that fails, you can try to find a private equity attorney to help you approach some venture capitalists who might be interested in your idea. Venture capitalists and angel investors are still doing deals and they are still one of the best sources of generating currency for your business - especially if you are a "start up" with a techy mission. But make sure you have a good business plan. Nobody is going to take you seriously if you don't have a business plan. They will think you are an amateur.

If you are not a start-up (maybe you want to start your own accounting firm or your own law firm, or a health food store) then venture capitalists may not be the way to go. You may need to seriously consider asking the bank for a loan. Now, the banks are not exactly feeling all that generous right now. But that is bound to change in the months to come. How long can there be a credit freeze before the whole world colapses? It's a matter of time before the banks are giving money away again, and small businesses are going to be at the top of their agenda - especially if they are backed by the Federal Government if the loans are guaranteed. Everybody seems to understand that small businesses are the backbone of the economy and without small businesses, this recession will turn to a Depression. They can't afford that. So small bussinesses are going to be in a very good place very soon.

But what if you do not qualify for a loan for some reason? Or maybe you don't want to go into debt. Well, don't you have lines of credit from your credit cards? You must have a few dollars on the bank? A CD? Retirement accounts? What about real estate? Any equity there?

Another way to generate currency for your business is to take side jobs, like waitressing, bar-tending or babysitting. These types of jobs allow you the flexibility and time you going to need to develop your business and your idea. The only problem is that most don't offer health insurance. So don't get sick.