How do I raise $200,000. to start business?

PetaPeta Posts: 1subscriber
edited November 2006 in Selecting a Business
I want to open an Ace Hardware store.  The first requirement is 30 % of the cost which in this case is $250,000.  How do I raise this money or how do I find investors without a business plan?

Comments

  • pepperlegalpepperlegal Posts: 2subscriber
    Whether you need investors or not, you should ALWAYS have a business plan.  In my experience, the vast majority of start-ups that I know have not been successful due to a lack of sufficient business planning.That sum of money will be difficult to come across through smaller lending institutions like regional or national banks.  Typically angel investors may pony up that sort of cash, but that might be difficult in a franchise situation.  Again, tough to even begin to evaluate your options without a business plan.
  • DeafCeoDeafCeo Posts: 3subscriber
    investors without a business plan?
     
    That is like running for the office of president of the usa without a plan.
     
    You need a life plan first to make sure this is what you want to do.
    Do you have any access to 30% of the money? In other do you have 30% of the $250,000 in cash? Which is $75,000.00 in cash.
     
     
  • DeafCeoDeafCeo Posts: 3subscriber
    Also it sounds like you trying to raise private funding ~ you are going to have to show the "silent" partner that there is a need and market for an ace hardware store in the area that you are considering putting it in. But understand the franchisor (one is granting you the rights to an exclusive franchise) often has major say in where you can put it to make sure it doesnt conflict with another ace hardware. Franchise are very terroritial.
  • DeafCeoDeafCeo Posts: 3subscriber
    Well i disagree with the Lowes/Home Depot could hurt your business comment because they may be big but they sorely are lacking in compentent workers that know their stuff.
     
    If I have a question ~ Ace Hardware has people who can help you without the we can refer you to a contractor. I beginning to think home depot and lowes folks takes kickbacks on the side. Ace Hardware is about keeping it customer coming back and back and back.
     
     
  • Jimmy17Jimmy17 Posts: 0subscriber
    Chinese investors typically do not use business plans.  They also prefer retail businesses.  Go to a CPA`s office in a Chinese neighborhood and ask them if they know of any Chinese investors.
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