Methods to Fund Your Ecommerce Venture

Starting an ecommerce project seems like an exciting proposition, but not everyone is capable of pursuing this dream due to lack of budget. Some ideas require a lot of money, and if there are no savings, the goal can collapse before it has any chance, to begin with.

Nevertheless, the situation does not have to be negative. In fact, there are still ways to get your ecommerce project up and running, even if you are struggling with finances. Want to find out what those are? Continue reading.


1. Looking for Cheaper Ideas

If you have grand dreams, they can wait. You can start with an ecommerce project that does not require as much investment, gain experience, and use the money made to finance what you really want to create. That would keep you out of debt.

Print on demand could be a good idea to consider. The only real requirements are hosting and a domain name for a website. Any extra resources that you have to spare will go in the marketing, but even that is manageable with limited funds.

Printify is a great platform with over 250 different products, website integration, more than 90 printing facilities across the world, and a great customer support department. You can find Printify print on demand tips and everything else about getting started on their website. 


2. Funding Short-Term Project Using Credit Cards

The credit card route might be a bit risky, but it is still an option. Having a good credit history will allow you to apply for a card that you can use for short-term goals. Some entrepreneurs choose this option because they would rather deal with credit card companies than individuals. And using credit card money still allows you to retain 100 percent of the company.


3. Taking Advantage of Angel Investors

Angel investors provide loans with the intent to get a better ROI. Prepare to craft a solid business plan if you want to persuade them. The loans vary between 25 thousand and 100 thousand dollars. Not everyone is capable of convincing an angel investor, but who knows, you and your idea might be enough to get recognition and receive the funding. 


4. Finding a Partner

An ecommerce venture does not have to be a one-person operation. In fact, some would argue that it would be better to have a partner from the very start.

Now the main point of having a business partner is not to take his or her money. If they can spare personal finances, that is great. But consider the fact that having another person will help to come up with potential ideas, writing a business plan, and expanding the circle of acquaintances. All these things lead to higher odds of finding someone willing to invest in your business.


5. Starting a Crowdfunding Page

Crowdfunding pages like Patreon have helped entrepreneurs with their startups. Everyone can start a crowdfunding page, but the problem is attracting people to give you money.

A crowdfunding page can reach a lot of people simultaneously, making it a more efficient option than by going from door to door, speaking with private investors. But in order to make a crowdfunding campaign successful, you will need to come up with a way to go viral. A few supporters will not do. 

On the other hand, a few hundred or thousand backers, even if it is just a few dollars from each, will help you immensely.


6. Borrowing Money from Friends and Family

One of the final resorts is trying to borrow money from friends or family. Your chances of getting a positive answer are higher because these people know and trust you more than strangers. 

On the other hand, not everyone is willing to borrow money from someone that they are in a good relationship with. Imagine a scenario where you borrow a lot of money, and your business idea fails. With nothing left, you are in debt and could potentially ruin these relations.

But then again, chances are they will forgive you. The bottom line is that everyone has different circumstances when it comes to family and friends. So act according to what you expect and know.


7. Applying for a Business Loan

A bank or another established that offers a business loan might seem like the most obvious choice. However, not everyone has a good credit history, so applying for a loan may end in failure. But if there is nothing to lose and you are unsure what the chances of success are, go for it. There is nothing to lose.

In conclusion, the dream of owning an ecommerce project can still become a reality even if you lack funds to start. Everyone ought to find a method that will work to get financing and be on their way to a successful ecommerce venture.

The views expressed in this article are those of the authors and do not necessarily reflect the views or policies of The World Financial Review.